The value of equities traded on NASDAQ Dubai in 2011 was 674 million dollars, down 48% from 1.3 billion dollars in 2010. The drop was in line with other exchanges in the region, reflecting the capital markets challenges experienced during the year.
Equities traded value in December 2011 was 28.1 million dollars, down 22% from 35.8 million dollars in November 2011 and down 74% from 107.9 million dollars in December 2010.
Jeff Singer, Chief Executive of NASDAQ Dubai, said: “NASDAQ Dubai is working with other UAE capital markets bodies to further strengthen the country’s listing and trading infrastructure, in preparation for an upturn in market sentiment. The exchange is also preparing for new product listings, including derivatives, and aims to expand its debt market.”
Individual investors accounted for 5.8 % of the traded value of all shares traded on NASDAQ Dubai in 2011. NASDAQ Dubai started routing all its equities trades through the trading platform of Dubai Financial Market (DFM) in July 2010, in order to facilitate access by individual investors. Individual investors accounted for 2.7% of equities traded value in the fourth quarter of 2010.
Arqaam Securities was the most active Member of the exchange in 2011, accounting for 25.1% of equities traded value, followed by Al Futtaim with 23% and Deutsche Bank with 17.3%.
During 2011 NASDAQ Dubai welcomed MENA Corp Financial Services as an equities Individual Clearing Member. Standard Chartered became a Custodian. Bank of America Merrill Lynch became the exchange’s first derivatives General Clearing Member and National Bank of Abu Dhabi became a derivatives trading Member.
The FTSE NASDAQ Dubai UAE 20 index ended 2011 at 1,374, down 4% from the end of November 2011 and down 24% from the end of 2010.
The index tracks 20 liquid stocks listed on DFM, the Abu Dhabi Securities Exchange and NASDAQ Dubai. It has been designed as a hedging and investment mechanism for GCC and international investors.
