UAE CMA (formerly SCA) Minimum Capital Requirements Explained for 2026

Table of Contents

• • Current Licence Categories and Paid-Up Capital
• • Why Older Capital Tables Conflict
• • How Multiple Category 2 Activities Are Calculated
• • How to Revise the Figures Without Mixing the Rules
• • Conclusion

The UAE Capital Market Authority, formerly the Securities and Commodities Authority, uses licence categories in the Financial Activities Rulebook. The current annex does not support a simple rule that Category 1 is always the highest-risk category and every later category requires less capital. Some categories have one minimum; Category 2 and Category 7 use activity-level amounts.

Quick answer: Category 1, Dealing in Securities, requires at least AED 30 million. Category 5, Arranging and Advice, requires at least AED 500,000. Category 2 cannot be reduced to one figure because the amount depends on the activity and the amounts are added when a firm conducts more than one Category 2 activity.

Current Licence Categories and Paid-Up Capital

Category	Licence group	Current minimum stated in the annex
1	Dealing in Securities	AED 30 million
2	Dealing in Investment	Activity-specific: AED 1 million for investment-fund management, AED 3 million for portfolio management, AED 1 million for fund administration, and AED 35 million for managing a profit-sharing investment account
3	Custody, Clearing and Recording	AED 50 million
4	Credit Rating Agencies	AED 5 million
5	Arranging and Advice	AED 500,000
6	Crowdfunding Platform Operator	AED 1 million
7	Virtual Asset Service Providers	Activity-specific; use the current virtual-assets framework for the exact activity and operating-expense requirement

Source: the current Financial Activities Rulebook licensing annex, including its activity-level capital rows.

The table is a licensing summary, not a statement that every activity available to a firm has identical conditions. Legal form, approved jobs, guarantees and any separate prudential rules must also be checked.

Why Older Capital Tables Conflict

Decision No. 13 of 2021 created the base rulebook, but later resolutions changed its annex. In particular, Category 2 moved to minimum capital for each financial activity, and Category 5 now states AED 500,000. A table that still shows AED 50 million for all Category 2 firms or AED 1 million for Category 5 is not using the current annex.

The category labels are also frequently misstated. Category 1 is Dealing in Securities, Category 2 is Dealing in Investment, and Category 3 is Custody, Clearing and Recording. Underwriting, custody, asset management and advice should not be moved between categories to create a simplified risk ladder.

How Multiple Category 2 Activities Are Calculated

The Category 2 annex says that when a firm conducts more than one financial activity in that category, the required capital is the sum of the activity minimums. A firm licensed for portfolio management at AED 3 million and fund administration at AED 1 million would therefore start with a combined Category 2 paid-up-capital minimum of AED 4 million, before checking any other applicable condition.

This is different from the common but incorrect shortcut of applying only the amount for the supposedly highest-risk activity.

These four original scenarios and six flashcards check the article’s current-practice distinctions. They are learning exercises, not official CISI examination questions. Use the syllabus and Candidate Update for your booked sitting to determine what is examinable.

How to Revise the Figures Without Mixing the Rules

Use four fields for each card: category, activity, minimum and combination rule. For example, “Category 2, portfolio management, AED 3 million, add to other Category 2 activity minimums.” This prevents Category 1’s category-wide AED 30 million from being confused with Category 2’s activity-level approach. Mark any figure from past papers or exam dumps as unverified until it matches the current annex, and keep the source date on each card when using digital flashcards.

Keep licensing capital separate from ongoing capital adequacy. Decision No. 11 of 2026 amended the capital-adequacy section, including the composition of Tier 1 capital and a leverage requirement. It did not turn the licence-category annex into a single seven-step risk ladder.

Conclusion

For a reliable answer, name the exact licensed activity first, then read the matching row in the current annex. Do not infer the amount from the category number or reuse a pre-amendment summary.