According to the UAE Securities and Commodities Authority (SCA) decree, in 2010 the DFM launched its dividend distribution services, which witnessed astounding success in organizing and controlling the dividend process.
This led to a noticeable increase in companies applying for the service the years that followed, tapping into the benefits provided by the DFM, saving the company’s time and costs throughout the dividend process by utilizing the highly trained and experienced competencies at the DFM to set the process accurately and in an organized manner.
The service also supports spreading awareness among investors about their rights as shareholders, activating their roles and bridging the gap between the two parties. In addition to Dubai CSD's commitment to process the dividend payments on the specified dates through the investor's preferred payment method, which is iVestor Card or Bank Transfer.
AED 10 for each Shareholder with a total amount of no less than AED 5000 per company
- The Listing and Disclosures section at DFM is to be officially notified with the company’s desire to manage their AGM and dividend services through the DFM
- The Cash Dividend Distribution Service Agreement is reviewed and signed by the company and Dubai CSD (Just for once)
- A Milestone send to the company prior to the AGM session date which includes the following procedures and their date of execution :
- Determine AGM date
- Determine the Entitlement date
- Determine the date of delivery of the company's sharebook and obtain the company's approval therein
- Date of transferring the dividends amount to Dubai CSD Bank Account
- Defining the dividends distribution date through a deposit in the investor's iVestor card or transfer to bank account of the shareholders
- Send SMS notification to the shareholder with their dividends details
- Document the dividend's data and prepare the necessary settlement reports
DFM Cash Dividend Distribution Service Agreement with the company and Dubai CSD.
The application is submitted by sending an email to:
Listing and Disclosure section: Disclosure@dfm.ae
Dividends Affairs Department: dividendistributions@dubaicsd.ae