FAQ: Does the company need to add a separate activity for holding shares and securities for investment purposes, or does the existing licence already cover this?

SITUATION

A DMCC LLC holds a trading licence with the activity "Trading for Proprietary Account on Regulated Exchanges". The company plans to build a long-term investment portfolio (shares, bonds, digital assets) using its own funds — for capital preservation and passive income.

ANSWER

What the current licence permits

The "Trading for Proprietary Account on Regulated Exchanges" licence is designed for companies that:

- buy and sell financial instruments for their own (proprietary) account

- act not on behalf of third parties

- deal in instruments traded on regulated exchanges

Permitted operations under the licence

- Engaging a broker to execute transactions — provided the broker is a regulated participant operating on regulated exchanges

- OTC transactions in securities — provided they are carried out through a regulated broker

- Trading in all financial instruments admitted to trading on regulated exchanges, including:

- foreign currency

- financial derivatives

- shares and securities listed on a regulated exchan...