News DeskLimassol – Scope Markets, the brand used by a globally regulated group of brokers, has today announced the launch of two new CFD products for trading indices in both Dubai and Abu Dhabi. In what is seen as being an industry-first, Scope Markets clients can now access unique instruments – the AD15 for Abu Dhabi and the DXBI for Dubai – with prices reflecting movements in the respective underlying regional stock markets, via a single transaction and from almost anywhere in the world.
Pavel Spirin, Chief Executive Officer at Scope Markets, commented:
“We are genuinely excited to be offering clients the ability to gain exposure to both the Dubai and Abu Dhabi equity indices via a CFD. It’s no secret that the GCC economies are growing rapidly, fuelled in part by more companies listing on the relevant regional markets. We know that investors from across the world want an easy way to add UAE exposure to their portfolios – these new products deliver that reality.”
Whilst many other global equity markets struggled over the summer – the Dow 30 added around 5% from the start of June to the end of August and the FTSE-100 was little changed – the Abu Dhabi benchmark index grew by 10% whilst the Dubai equivalent saw its value grow by more than 15%. The price action here, along with the frequent oversubscription of new equity offers in the region – in March 2024 the Parkin IPO was 165 times oversubscribed – underlines how demand for quality investments in the region continues to outstrip supply. under
Mitesh Vaghela, Chief Business Officer at Scope Markets, added:
“At Scope Markets we have now developed these proprietary instruments which we believe provide a genuine market differentiator for us as a brokerage. We know the demand for investing in both Dubai and Abu Dhabi is there so we will use feedback from these products to see how we can further refine the offering and also look at expanding the product suite to allow access into other exchanges across the GCC.”
Growth data from exchange operator Dubai Financial Market (DFM) noted that in 2023, foreign investors accounted for 47% of trading activity, whilst 73% of new investors were from overseas.
The new equity index products will be available for Scope Markets clients to trade on both a long and short basis, with leverage of up to 1:20 offered. These instruments complement the addition of more than 80 Abu Dhabi and Dubai listed single equity CFDs which have been added to the broker’s tradable universe over the last twelve months.
