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NASDAQ Dubai Monthly | September 2011 If the newsletter is not displaying correctly, click here to read it online 

Welcome to the latest issue of NASDAQ Dubai Monthly, our online newsletter that updates market participants about developments at the exchange.

SUMMARY


  • Dubai Gold Securities (DGS) trading rises 230%
  • Jafza and NASDAQ Dubai to host capital-raising seminar for Jafza companies
  • Individual investors’ trading share reaches 6.6% so far in 2011
  • Official List to transfer to DFSA
 
Trading of Dubai Gold Securities rises 230%

Trading of Dubai Gold Securities (DGS) on NASDAQ Dubai rose to 6,075 securities in August 2011, a 230% increase from 1,840 in July, and up from 636 traded in the whole of the first half of the year.

The increase in trading coincided with a rise in the spot gold price over the period.

DGS were listed in 2009. They track the spot price of gold and are structured products that can be traded on NASDAQ Dubai through a broker, just like equities.

The total value of DGS traded on NASDAQ Dubai reached $1.44 million in the first eight months of 2011, up 66% from $866,000 in the same period of 2010.

Click here for more details about DGS

Individual investors’ share of equities trading reaches 6.6%

Individual investors accounted for 6.6% of the traded value of all shares traded on NASDAQ Dubai in the first eight months of 2011. Total equities traded value in the period by individual and institutional investors was 511 million dollars.

NASDAQ Dubai started routing all its equities trades through the trading platform of Dubai Financial Market 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.

In August 2011, individual investors accounted for 3% of total equities traded value on NASDAQ Dubai, the same percentage as in the previous month. Total equities traded value on the exchange in August 2011 was 73.2 million dollars, up 174% from 26.7 million dollars in July 2011 and down 7% from 78.7 million dollars in August 2010.

Official List of Securities to transfer to DFSA

NASDAQ Dubai and Dubai Financial Services Authority (DFSA) jointly announced in September that the responsibility for maintaining the Official List of Securities will be transferred from NASDAQ Dubai to DFSA on October 1, 2011.

The Transfer will result in the streamlining of the regulatory process for approving prospectuses and listing, for the benefit of issuers and investors. It is in line with international best practice. NASDAQ Dubai will continue to be exclusively responsible for the admittance to trading of securities on its market and its role as an Authorised Market Institution licensed to operate an exchange and clearing house remains unchanged.

The DFSA and NASDAQ Dubai agreed to effect the Transfer in view of the DFSA’s proposed new Markets Rules. Without the Transfer the Markets Rules would have had the effect of considerably increasing the regulatory burden on issuers in the Dubai International Financial Centre, by duplicating regulatory oversight in respect of prospectus and listing approval processes. The Transfer ensures that these processes will instead be centralised at the DFSA, providing an efficient and effective regulatory structure.

For more information about the Transfer please view the Q&As on

Jafza and NASDAQ Dubai to host seminar on capital-raising opportunities for free zone companies

Jebel Ali Free Zone (Jafza) and NASDAQ Dubai will host a seminar for prominent companies based in the free zone, to explain ways in which they can raise capital to fund their expansion, including through a listing on the region's international exchange. Jeff Singer, Chief Executive of NASDAQ Dubai, will give a presentation to senior company executives at the event on September 28, highlighting the different options for capital raising, as well as the advantages of carrying out an initial public offering (IPO) and how to prepare for listing.

He will be joined by a panel of experts from auditing and financial advisory firm Ernst & Young, international law firm Latham & Watkins LLP, investment bank SHUAA Capital psc and private equity firm Riyada Enterprise Development, a member of the Abraaj Group.

Click here for Press release
NASDAQ Dubai is recruiting

The exchange is seeking a Business Development Manager to expand revenues and product portfolios. The role includes a focus on the sales activity of the non-cash (equity) business across volume growth and membership sales. This will require strategic thinking and a holistic approach to the development of the exchange with a sound understanding of the MENA market. The successful candidate will report to the Head of Business Development and have at least three years MENA capital markets experience, with a dynamic and creative approach to business expansion.

Applicants should contact Aneka Sharma, Human Capital Manager, at aneka.sharma@nasdaqdubai.com

 
FTSE NASDAQ Dubai UAE 20 share index falls 4% in August

The FTSE NASDAQ Dubai UAE 20 index ended August at 1,550, down 4% from the end of July and down 14% from the end of 2010. The index tracks 20 stocks listed on DFM, the Abu Dhabi Securities Exchange and NASDAQ Dubai. The stocks are chosen for high liquidity and openness to foreign investment. Read more about the constituents of the index here

Read more about the constituents of the index here >

 
Market share by value of all equities traded – August 2011
10 most active Members Market Share %
Arqaam Securities 45.2  
Deutsche Bank 15.1  
EFG Hermes Brokerage UAE 14.7  
Al Futtaim HC 13.1  
DBFS (Mubasher) 3.2  
Citigroup 3.1  
Emirates NBD Securities 1.8  
Mashreq Securities 1.5  
Shuaa Securities 1.5  
Al Ramz 0.4