Brokerage PU Prime Secures UAE License
Global brokerage group PU Prime announced that its Dubai-based entity has been granted a licence by the UAE's Capital Market Authority (CMA). The new license permits the company to conduct regulated introduction and promotion activities within the UAE, expanding its global regulatory footprint.
- The license granted is a "Category 5," which permits PU Prime to market its services and introduce clients to its offerings within the UAE. However, it does not allow the firm to hold client funds or execute trades locally; UAE-based clients will be referred to PU Prime's offshore-regulated entities. - This move is part of a larger trend of financial firms flocking to the UAE, attracted by its position as a gateway between Europe, Asia, and Africa, and its rapidly modernizing regulatory environment. The UAE's non-oil foreign trade grew 24.5% in the first half of 2025, significantly outpacing global averages. - The Dubai-based entity, PU Prime Financial Services LLC, is headed by Ali Afzaal, the Regional Head of Business Development for MENA and South Asia. Before joining PU Prime, Afzaal held senior business development and sales roles at GTCFX and MultiBank. - The Capital Market Authority (CMA) recently replaced the Securities and Commodities Authority (SCA) on January 1, 2026, as the primary regulator for the UAE's onshore capital markets. This change brought an expanded mandate to align with international standards and enhance investor protection. - Opting for a Category 5 license is a common strategy for international brokers entering the UAE due to lower capital requirements—AED 500,000 compared to the AED 30 million needed for a full brokerage "Category 1" license. This allows firms to establish a regulated presence while managing costs. - PU Prime's new license adds to its existing regulatory approvals from authorities in several other key jurisdictions, including Australia (ASIC), South Africa (FSCA), Mauritius (FSC), and Seychelles (FSA). - The UAE has multiple financial regulators. In addition to the CMA for the mainland, the Dubai International Financial Centre (DIFC) is governed by the Dubai Financial Services Authority (DFSA), and the Abu Dhabi Global Market (ADGM) is overseen by the Financial Services Regulatory Authority (FSRA). These free zones operate under a common law framework, which is often more familiar to international firms. - The strategic importance of the Middle East for brokers is growing; one report indicated that 52% of a global broker's trading volume in the first half of 2025 originated from the Middle East, with over 71% of that coming from UAE-based traders.
