The Bahrain Financial Exchange (BFX) has signed a deal with global index provider FTSE Group to enable the exchange to sell a range of products that will give investors exposure to equities in both developed and emerging markets around the world. 

The products will be launched when trading through the BFX begins in October and will be based on the following indices: FTSE Emerging, FTSE Europe, FTSE BRIC 50, and FTSE Coast Kuwait 40.

The exchange launched a region-wide membership campaign in June this year. So far it has received interest from over 50 financial institutions and brokerage houses. The BFX says the products it is looking to launch through its exchange come as a result of talks with brokers in the region.

The BFX was originally scheduled to launch in the first quarter of 2010, but was postponed to October in order to avoid the drop in liquidity associated with the summer months and the month of Ramadan, which is due to begin on 11 August.

It will also allow trading in sharia-compliant securities, trade cash instruments and structured products. Bahrain currently has one stock exchange, the Bahrain Stock Exchange, with 40 listed companies.