ADSSL Begins Winding Down UK Operations
ADSSL, the UK subsidiary of ADSS, a brokerage group headquartered in Abu Dhabi, has initiated the process of closing down its operations in the United Kingdom. This strategic decision by the parent company aims to divert resources on other entities within the group.
Having held authorization to provide services in the UK since 2012, ADSSL formally applied to cancel its license with the Financial Conduct Authority (FCA) in June 2023. As a result, ADSSL will gradually cease its operations in due course, no longer accepting new clients or managing existing ones.
ADSS assures stakeholders that despite the closure of ADSSL, the group remains well-capitalized and committed to its growth strategy. The wind-down of ADSSL will be conducted in an orderly manner, complying with all FCA obligations, and the company is available to address any inquiries from clients.
ADSSL has been primarily engaged in offering contracts for difference (CFDs) trading services, including spread betting, to retail and professional clients, although its focus has shifted from institutional investors in recent years.
While ADSSL reported a substantial 362% increase in profit for the fiscal year ending December 31, 2021, with revenue reaching £4.5 million, it’s important to note that when excluding income from transfer pricing activities, the revenue reflected a 34% decline compared to the previous year. ADSSL explained that this decline was a result of their ongoing strategic pivot from an institutional-led offering to a more professional client-centered approach, as outlined in their filing with UK Companies House.
Strategic Shift
In recent developments, two executives from ADSSL, namely Ash Elgarf, Head of Dealing, and Dan Benton, Senior Sales Trader, have departed to join London Capital Group, a former rival that now operates as an introducing broker.
ADSSL’s decision to wind down its operations in the UK reflects the parent company’s strategic focus on other entities within the group. The closure will be carried out in accordance with regulatory obligations, and ADSS remains committed to its growth trajectory despite this change.
