Wio Bank, in collaboration with the Abu Dhabi Securities Exchange (ADX), has unveiled a groundbreaking digital financing product called Loan Against Investments. This innovative service allows UAE investors to leverage their ADX-listed share portfolios as collateral for credit, eliminating the necessity to liquidate their holdings. Accessible via the Wio Personal app, users can pledge eligible shares to Wio Bank, securing financing while retaining all economic benefits, including dividends and any potential market appreciation. Upon full repayment, the shares are seamlessly returned to the investor's portfolio. This offering is touted as the first fully digital experience of its kind in the region, streamlining the entire process from collateral transfer to repayment without the need for paperwork or branch visits.
The launch significantly enhances Wio Bank's investment suite, which includes stocks, exchange-traded funds, virtual assets, commodities, and fractional bonds. By introducing asset-backed lending, the platform democratizes access to financial tools that were traditionally available only to institutional or private banking clients. Jayesh Patel, CEO of Wio Bank, emphasized that this initiative responds to the persistent demand from retail investors for liquidity without relinquishing their investments. The automated system assesses funding based on the current market value of user holdings, ensuring a user-friendly experience.
Abdulla Salem Alnuaimi, Group CEO of the ADX Group, highlighted that this new solution empowers investors to unlock liquidity and access cash using their listed shares as collateral, thereby enhancing their financial flexibility while remaining invested. The ADX has indicated plans to collaborate with additional financial institutions to introduce similar financing solutions, aiming to deepen market liquidity and support investor needs in the UAE.
The launch significantly enhances Wio Bank's investment suite, which includes stocks, exchange-traded funds, virtual assets, commodities, and fractional bonds. By introducing asset-backed lending, the platform democratizes access to financial tools that were traditionally available only to institutional or private banking clients. Jayesh Patel, CEO of Wio Bank, emphasized that this initiative responds to the persistent demand from retail investors for liquidity without relinquishing their investments. The automated system assesses funding based on the current market value of user holdings, ensuring a user-friendly experience.
Abdulla Salem Alnuaimi, Group CEO of the ADX Group, highlighted that this new solution empowers investors to unlock liquidity and access cash using their listed shares as collateral, thereby enhancing their financial flexibility while remaining invested. The ADX has indicated plans to collaborate with additional financial institutions to introduce similar financing solutions, aiming to deepen market liquidity and support investor needs in the UAE.
Source: Fintech News ME
