Arshad Khan, Director, BFX presented the concept of the new Exchange and the benefits that a liquid and transparent exchange can bring to Bahrain and the Middle East economies. He highlighted that exchanges like the BFX are essential in the current financial climate as they allow users the ability to raise capital and also manage risk via multiple mediums.
The BFX is a new exchange in Bahrain which will begin trading in Q1, 2010. It is licensed and regulated by the Central Bank of Bahrain to trade multi assets including equities, bonds, commodities, currencies, derivatives and Sharia compliant Islamic financial instruments.
Khan informed attendees that the BFX is the first international multi asset exchange of its type in the region's growth markets, and aims to pool liquidity in Bahrain creating a virtuous circle of investment and jobs in the local economy. He also highlighted the Exchange's in-house, international standard training academy which will train and create the next generation of financial professionals.
During the presentation Khan emphasized that given the current business situation, there is a requirement for innovative solutions to tap into and create new opportunities for the financial services industry at large. He shared with the audience the potential of the GCC Sovereign Wealth Funds and how they can reshape the financial landscape both regionally and internationally. He pointed out that many SWFs are re-strategising their investment portfolios which can result in an increase in fund allocation to the local regional markets by some 20-25%. This will in turn create significant liquidity in the regional financial markets.
Commenting on the event Khan said:
"This is a fantastic platform to put the BFX and Bahrain on the global map for exchanges. We are extremely pleased with the response we have had to the BFX at this event."