Nasdaq Dubai launches Dubai, Abu Dhabi equity index futures

The Nasdaq Dubai on Sunday launched equity index futures for the main indexes of Dubai Financial Market (DFM) and the Abu Dhabi Securities Exchange (ADX), the exchange said in two separate statements on Sunday.

“The creation of index products is the latest expansion of Nasdaq Dubai’s futures market, which opened in September 2016 with single stock futures on leading UAE-listed companies,” the exchange said in a statement.

By trading futures contracts on the DFM General Index, investors can gain exposure to a basket of 37 companies listed on DFM – including, Emaar Properties, Dubai Islamic Bank and Dubai Investments – without trading either their shares or single stock futures, it said.

Abu Dhabi’s main index, meanwhile, provides a benchmark of the overall performance of the ADX market, which is the second largest in the GCC by market capitalization and includes First Abu Dhabi Bank, Eshraq Properties and Etisalat among its listed companies.

“Today’s addition of our first index products marks a new phase of expansion for Nasdaq Dubai’s futures market,” Abdul Wahed Al Fahim, chairman of Nasdaq Dubai, said in the statement.

Nasdaq Dubai offers two quarterly contracts each in DFMGI futures and ADI futures.

Further expansion of Nasdaq Dubai’s futures market will include the creation of futures on regional MSCI equity indices under a license agreement announced last October, as well as more single stock futures and option products at a later date.