Individual investors increase share of equities trading to 11.6% in May 2011

Individual investors on Nasdaq Dubai increased their share of equities traded value on the exchange to 11.6% in May 2011, up from 8.9% in April and 5.7% in March. The continuing expansion came after Nasdaq Dubai started routing all its equities trades through the trading platform of Dubai Financial Market (DFM) in 2010, in order to improve access by individual investors.

The value of equities trades by individuals rose to $7.3m dollars in May 2011, up 14% from $6.4m in April 2011. Total equities traded value – by institutions and individuals – fell 12% in the same period, to reach $63m in May.

Jeff Singer, Chief Executive of Nasdaq Dubai, said: “The steady increase in trading by individuals, in a difficult period for the regional capital markets, is a welcome development on Nasdaq Dubai’s market. An active retail base combined with global institutional liquidity puts Nasdaq Dubai in a strong position to attract initial public offerings as business sentiment improves.”

The FTSE Nasdaq Dubai UAE 20 index ended May 2011 at 1,726, down 3% from the end of April and down 4% 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.