A new survey from trading platform eToro shows that 85% of UAE-based retail investors are currently invested in locally listed stocks, with confidence in the domestic market running at record highs despite global uncertainty.
eToro Says 85% of UAE Retail Investors Back Local Stocks
The broker said that the study, based on responses from 1,000 investors in the country, found that 39% of retail participants hold Abu Dhabi equities, 28% hold Dubai equities, and 18% invest in both.
The findings are said to underscore the broad support for homegrown markets. When it comes to the UAE economy, eToro said 63% of investors stated they are “very confident” in its current performance, with 29% indicating they are “somewhat confident”.
For the long-term performance of locally listed stocks, 59% said they are “very confident,” with 32% “somewhat confident.”
Looking ahead, 48% of investors expect significant gains in the UAE stock market over the next year, while 34% forecast steady growth.
Real estate was cited as the most promising sector over the next 12 months by 55% of respondents, followed by technology (48%), financial services (37%), and energy (37%).
George Naddaf, Managing Director at eToro MENA, said: “The DFM and ADX are among the best-performing stock exchanges in the world this year, outperforming the S&P 500 by a considerable margin.
“Against this backdrop, our research confirms that investor confidence in the UAE market remains strong, supported by resilient performance across local indices, solid macroeconomic indicators, and sustained earnings across key sectors.”
However, global trade tensions are said to remain a concern, with 90% of investors expecting tariffs and trade wars to affect portfolios in the next six months. Many are responding by increasing exposure to UAE equities and commodities such as gold and oil, which are viewed as defensive hedges.