Wio Bank, in partnership with Abu Dhabi Securities Exchange (ADX), has launched Loan Against Investments, a new financing solution that allows investors to borrow cash against their ADX-listed shares without selling them.
According to the companies, the product is the first fully digital experience of its kind in the region, enabling investors to access liquidity while remaining invested and continuing to benefit from dividends and potential share price appreciation.
Key highlights:
• Investors can borrow against eligible ADX-listed shares
• No need to sell shares to access liquidity
• Dividends continue to accrue to investors
• Investors retain exposure to potential share price gains
• Entire process completed digitally through the Wio Personal app
• No paperwork or branch visit required
• First fully digital Loan Against Investments solution in the region
Under the solution, investors pledge eligible ADX-listed shares as collateral to Wio Bank. The shares remain secured for the duration of the financing, and once the loan is fully repaid, the shares are returned to the investor’s portfolio.
According to Wio Bank, the product addresses a common challenge faced by investors who require short-term liquidity but do not want to forgo future investment returns, dividends or long-term compounding benefits by selling their holdings.
Jayesh Patel, CEO of Wio Bank, described the launch as a significant milestone for both Wio and the UAE market, highlighting that access to liquidity without giving up investments was a frequently requested feature among customers.
ADX Group CEO Abdulla Salem Alnuaimi stated that the solution provides investors with greater flexibility in managing their finances while remaining invested in the market. He also noted that ADX is working with additional financial institutions to introduce similar financing solutions in the future.
The launch further expands Wio Invest’s growing investment ecosystem, which already includes stocks, ETFs, virtual assets, commodities, fractional bonds, wealth management solutions and UCITS ETFs.
Source: Abu Dhabi Securities Exchange (ADX) / Wio Bank
Disclaimer: This post is for informational purposes only and should not be considered investment or financial advice.