Muscat – The Financial Services Authority (FSA) on Monday announced the start of the trial phase for Robo-Advisory, a digital investment advisory platform operating within the authority’s Fintech Regulatory Sandbox.

The initiative aims to test technological solutions, business models and innovative applications before they are made available on a wider scale.

Abdullah bin Salim Al Rubaie, Director General of the Institutional Development Unit at the FSA, said the admission of the Rushd platform into the Fintech Regulatory Sandbox to develop digital investment advisory services was part of efforts to advance innovation in Oman’s capital market. He added that the initiative aligned with the National Fintech Strategy and sought to promote the use of digital solutions to enhance financial services and products.

Al Rubaie reaffirmed the FSA’s commitment to providing a regulatory environment that encourages innovation and enables promising projects to test technological solutions and develop business models within a framework that takes into account investor protection, trust and sustainability.

He also invited innovators, entrepreneurs, project owners and start-ups to submit fintech initiatives and innovations in the non-banking financial sector and benefit from the opportunities offered by the regulatory sandbox. The aim is to develop solutions that respond to market needs and meet investors’ expectations.

The FSA will oversee the performance of the Rushd platform during its live testing phase, following completion of the necessary approvals and registration requirements for participation in the regulatory sandbox. The phase marks the start of actual operations under the supervision of the FSA’s Fintech Regulatory Sandbox Team.

The platform will continue operating within the sandbox until it meets the regulatory, technical and operational requirements and secures the necessary approvals and final licence to offer its services to the public.

The platform offers a Robo-Advisor service, an advanced digital solution that uses algorithms and intelligent technologies based on defined criteria to guide investment decisions. It takes into account clients’ investment objectives, asset values and risk tolerance to develop customised portfolios suited to their financial profiles.

Beyond providing investment recommendations and advice, the service offers comprehensive portfolio management across a diverse range of local and international assets and investments, covering everything from asset allocation to ongoing monitoring and rebalancing. All portfolios and investment solutions are managed in accordance with Islamic Sharia principles.

The trial phase aims to assess the platform’s functionality, technical and operational readiness, risk management mechanisms, investment suitability and user experience. It will also allow the FSA to monitor operational results, document observations and challenges arising during testing, and implement necessary improvements before proceeding to subsequent stages.

The trial phase, which involves the platform’s actual operation, is divided into several stages, each subject to specific controls. These include limits on the number of clients and transaction volumes permitted at each stage, alongside requirements and key performance indicators.

These indicators will enable the Regulatory Sandbox Team to evaluate the platform’s operations, business model and ability to meet regulatory and operational requirements.