ABU DHABI, 18 October 2006 — Abu Dhabi-based investment firm, the National Investor (TNI), said yesterday that tighter control over stock market listed companies in the UAE is producing improved disclosure habits, but the quality of information released remains inconsistent.
TNI said the threat of fines imposed by the Emirates Securities and Commodities Authority for failure to publish quarterly results within the legal time limit has resulted in more companies now issuing results on schedule. But TNI emphasizes that corporations still need to improve the quality of the information they reveal to help investors hindered by a general shortage of data in the UAE market.
This is revealed in a TNI market insight strategy report published to introduce the firm’s new results publication calendar — “Third Quarter Results Calendar”.
According to TNI research, the proportion of companies abiding by ESCA rules and publishing 16 to 30 days after the close of the period increased significantly since the beginning of 2006. On aggregate 75 percent to 80 percent of the companies have published within the 30-day period in the first half of 2006, up from 60-70 percent in the corresponding period last year.