Frequently Asked Questions

What are the opening days and hours for the Saudi Tadawul Exchange?
The normal trading hours are between 11.00am to 3.30pm (Saudi time), Sat to Wed.
What is USI Capital?
USI Capital is the investment arm of USI Ltd, a private firm based in the UK (registration #5187651) and authorised by the UK financial regulators, the FSA (#574754). USI is also registered by HMRC (UK) under the Money Laundering Regulation 2001.
What are the opening days and hours for the other GCC Exchanges?
All the other GCC exchanges are open Sun to Thu and the normal trading hours (local time) are as follows
Abu Dhabi and Dubai – 10.00am to 2.00pm
Qatar – 9.30am to 1.15pm
Kuwait – 9.00am to 12.30pm
Oman – 10.00am to 1.00pm
Bahrain – 9.30am to 12.30pm
Do you deal in the NASDAQ Dubai Exchange?
Currently, we do not cover this Exchange (formally known as the DIFX)
Who can trade with USI Capital?
The brokerage service of USI Capital is open to any experienced retail individuals or institutions, from any part of the world.
What exactly does GCC stand for?
GCC is the abbreviation for Gulf Corporation Council. It is a political and economic union of the Arab states, created in 1981, consisting of Saudi Arabia, Bahrain, Qatar, Oman, Kuwait and the UAE.
What currencies are used for trading in these GCC markets?
Only the local currencies are traded in the appropriate markets. For instance, Saudi Riyals are used for Saudi stocks and UAE Dirhams are used for the Abu Dabhi and Dubai stocks.
What do I need to trade with USI Capital?
You need to open a trading account with USI by signing its client agreement form which will clearly explain the terms and conditions. In the process, certain document will need to be completed and your ID and source of income will need to be per the Anti-Money laundering(AML) Regulations.
Are there any costs incurred for using the service?
The only costs incurred by the client will be the commission schedule which will take care of all trade related costs. Fees associated with transfer of stocks and other unusual activities are provided upon request.
What is the Tadawul account portfolio used for?
This portfolio account number is your unique account number for all your trades in the Saudi exchange
Are we provided with an account number for the other exchanges?
The only number you should be aware of for the other exchanges is the client account number USI Capital will furnish you with for identification purposes.
How safe are client funds with USI Capital?
Client funds are totally segregated and kept apart from the firm’s own funds into a client fund account. Under the FSA Directive, it is of our utmost concern that we safeguard all our client funds at all time. Your cash is 100% guaranteed up to £85,000 as per the FSA directives.
How do I monitor my portfolio and how will I receive news on the market?
You can have access to his portfolio via an internet based online trading platform, if required. Prices will be offered real time. Through the same platform, you will be furnished with news from news providers and exchanges. Alternatively, you can simply call our trained dealers by phone.
Will USI provide advice?
USI Capital will not provide any sort of recommendation to its clients as it is only authorised to provide Execution-Only dealing service. However, you are able to call our highly trained dealers and ask for specific stock prices and general trend in any specific news in the stock market.
Who is going to take custody of my stocks?
The relevant Exchanges will take custody of all your holding. For practical purposes, your holding will be under the name of the approved local agent on behalf of USI Capital’s clients. For Saudi stocks, your name will be registered as the ultimate beneficiary owner.
How will I be able to place orders?
You will be able to place orders by telephoning one of our dedicated dealers or you can enter your order online directly to our office and once our dealer acknowledges your order, the order will be passed onto our broker in the region for execution.
How will I receive my confirmations?
Once your order is partially or completely executed, you will receive a verbal confirmation by phone or through the online platform. This will be followed by a written trade confirmation by email or post with all the neccesary information.
What is the minimum amount I can open a trading account with?
The minimum initial deposit required to open a trading account is US$8,000 There is no maximum amount.
How often can I trade my stocks?
You can trade your stocks as often as you like during the normal trading hours. If you want to buy, you need to have sufficient cleared funds in your account. You may sell your stock if you have them in your account.
Can I sell short?
No. You cannot sell a stock you do not hold in your portfolio
How can I withdraw my cash from my trading account with USI Capital?
You may withdraw your cash from your account by giving us instructions to do so. You can only withdraw cash that is cleared. We will take the best prevailing FX rate to convert your cash and it will be paid directly into your account we have on file.
What kind of orders can I place in the market?
There are various type of orders you can place, but some exchanges may not accept certain types. For example, in the Saudi market, we cannot accept a GTC (Good Till Cancelled) order.
Do you offer margin trading?
No. All trades are cash settled. USI Capital is not authorised to provide margin trading or any sort of leverage trading for its clients.
Can our account go overdrawn even for one day?
No. Our system will reject any orders that exceed your buying power. Client account cannot become overdrawn even during intra-day trading.
How will you determine whether I am an experienced investor?
Upon filling out an account opening form, We will internally complete a KYC (Know Your Client) form which will enable us to determine if you are suitable to trade with us. Because the GCC markets carries an above average risk (compared to the developed markets such as the UK, the US and France), we do not encourage taking on clients who have insufficient knowledge and/or assets.
I am wealthy and you should accept me as a client without questioning. Right?
We follow the UK Anti-Money Laundering (AML) regulation which clearly states that we must always be on the lookout for laundered money and report any suspicion to the authorities. On that basis, we will need to inquire how you accumulated your wealth. The term “laundering” comes from the process of turning ‘dirty’ money into ‘clean’ money.
How easy is it for me to close my account with USI Capital?
It is straightforward. We will require a written instruction from you and we will transfer your cash in to your account we have on file, once all liabilities are cleared. If it is possible to transfer your stock away, we will endeavour to do that and this may entail some administrative costs.
What complaint recourses are opened to me?
Initially, any complaint should be addressed to our Management and someone will investigate the matter in an objective and professional manner. We will try to be as quick as possible. If you are still not happy with the outcome, you may raise your complaint to the FSA, our governing body.
What sort of ID’s will you require from me if I want to open a trading account with USI Capital?
We need to be absolutely sure that all our clients are properly identifiable and the address given is accurate and up-to-date. We have a selection of approved ID’s we would like to see and these are dependent upon the type of clients you are (corporation or individual). For instance, if you are a corporation, we would like to see the firm’s registration certificate, and if you are an individual, we would like to see your passport, driving licence photo card and your NIN. Full details of the appropriate ID’s can be found in the account opening form.
Do you prohibit trading in shares involved in alcohol and gambling related activities?
Each of our clients has its own beliefs and we do not prevent any of our clients from choosing what stocks they should or should not invest in. We are an Execution-Only brokers.
How soon do you credit or debit our investment account?
We will debit (for purchases) and credit (for sales) your investment account on the appropriate settlement dates. Some exchanges are settled T+0 whilst some settle T+2 or T+3. We will credit our account with dividends as soon as we receive them into our account from our custodians.
Will our cash be held in the UK?
Your cash will be held safe in a segregated client account in a highly reputable financial institution overseas. Daily reconciliation of client assets (stocks and cash) will ensure that each client’s assets are clearly defined.
How can I find out more about the Exchanges I am dealing in?
We have provided you with links connecting you to the appropriate Exchange’s website where all trading information can be found including a comprehensive list of all stocks listed in the appropriate exchanges.
Is it wise to invest all my savings into the stock market and get a decent return on it?
No. You should only invest an amount you can easily afford to lose. There are no specified returns in direct investment in equities. The price of shares can go up and down depending on a number of variables including (but not limited to ) general economic conditions, the trading fortunes of the company and market expectations.
How can I understand all those investment jargons that are always mentioned in this industry?
You can access our glossary page which will try to explain some of the jargons, but you should completely and confidently understand exactly how the market operates before you decide to invest, particularly in the Middle Eastern equity markets.
How am I able to transfer funds into my investment account?
Upon account creation, USI will provide its client with its account details held with USI.
Do I need to converse in Arabic to place orders?
No. English is required.
Are you able to place orders before the market opens or after the market closes?
No. We will only take orders whilst the appropriate market(s) is open for normal trading.
How will you take care of corporate actions on my stock holdings?
Unless we are instructed otherwise by the client, your position will be automatically updated using the default option.
What is contained in USI’s Terms and Conditions Agreement?
This vital document sets out the Terms and Conditions upon which USI will conduct its services for the client.
How do I access your online trading platform (OTP)?
If you require the services of our OTP, we will provide you with all the specifications needed for your PC.
Do I have to place orders online?
No. Telephonic orders will be the main mode of placing orders to USI dealers. However, you may use USI Capital’s OTP if you wish.
What if I forget my passwords?
USI will provide you with new passwords (upon authentication of the user).
What is a derivative?
It is a financial instrument which derives its value from the value of underlying entities such as an asset, index or interest rate. It is generally used as an instrument to hedge risk, but can also be used for speculative purposes.
How risky is derivative trading?
Trading in this type of investment carries much higher risks than trading in equities. It involves a high degree of speculation and is highly geared (leveraged). It is not for the faint-hearted investor because the value of his position can fluctuate violently upwards or downwards even during intra-day trading.
What are Saudi Share Swaps?
Essentially, through a Saudi Share Swap agreement, non-resident foreigners (those residing outside the GCC region) are able to profit from the shares listed in the Saudi Stock Exchange (the Tadawul). But the legal ownership of the shares will not be passed onto them. It is retained by a local designated Authorised Person (an authorised financial institution) who also retain silent voting rights.
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