Scope Markets Launches CFD Trading of Abu Dhabi’s AD15 and Dubai’s DXBI

Scope Markets has unveiled two new Contracts for Difference (CFD) products, providing access to indices representing Dubai and Abu Dhabi stock markets, marking an industry-first move.

The FX/CFD broker now offers trading on the AD15 for Abu Dhabi and the DXBI for Dubai, reflecting the price movements of the underlying regional stock markets.

According to the Dubai Financial Market (DFM), foreign investors made up 47% of trading activity in 2023, and 73% of new investors were from overseas.

This launch comes amid strong growth in the region, with the Abu Dhabi benchmark index rising by 10%, and Dubai's equivalent increasing by over 15% during the summer, contrasting with relatively muted performances in major global indices like the Dow 30 and the FTSE-100.

The recent oversubscription of new equity offerings in the region, such as the Parkin IPO which saw 165 times the demand in March, further underscores investor interest in these markets. With these new CFDs, Scope Markets aims to capitalize on this enthusiasm.

Pavel Spirin, CEO of Scope Markets, stated, "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."

The newly launched AD15 and DXBI products are offered with leverage up to 1:20, providing investors with significant flexibility.

Mitesh Vaghela, Chief Business Officer at Scope Markets, emphasized the uniqueness of the offering: “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.”

This launch of equity index CFDs for Dubai and Abu Dhabi represents a significant addition to Scope Markets' product portfolio, aiming to meet growing demand and offering a unique entry point into the flourishing GCC markets.