Abu Dhabi Securities Exchange’s traded value jumps 31 per cent in first nine months

The market capitalisation of the bourse surged an annual 60% at the end of the third quarter

The market value of the Abu Dhabi Securities Exchange increased 60 per cent to Dh2.2 trillion ($600 billion) at the end of the third quarter. Photo: ADX

The Abu Dhabi Securities Exchange registered a 31 per cent increase in its traded value during the first nine months of 2022.

The bourse's market capitalisation increased about 60 per cent to Dh2.2 trillion ($600 billion) at the end of the third quarter, from Dh1.38 trillion during the same period in 2021.

Traded values on the exchange (ADX) in the first nine months of the year reached Dh648.9bn compared with Dh495bn in the same period last year, the stock exchange said in a statement on Friday.

Net foreign investment in the period increased 176 per cent to Dh19.8bn, from the same period last year, as the value of shares traded by institutional investors jumped 28.7 per cent to Dh541.5bn, ADX said.

The stock exchange posted a 16.9 per cent jump in FTSE ADX 15 (FADX), its benchmark index during the nine-month period.

The gains were the result of an increase in institutional and individual investors on the exchange, a trading uptick on ADX’s fast-growing Exchange Traded Funds (ETF) market, new listings and the introduction of an index created in partnership with FTSE Russell.

Launched in March 2021, the FADX 15 — developed by the ADX and FTSE Russell — is a blue-chip benchmark that aims to support the bourse’s derivatives market, ETFs and other index-tracking investment vehicles.

Trading values for ETFs on ADX in the first nine months increased more than eightfold to Dh886.9 million from Dh105m compared with the same period last year.

ADX listed a Turkey-focused ETF in the third quarter. The Chimera S&P Turkey Sharia ETF began trading on ADX on August 1, bringing the total number of ETFs on the exchange to seven, the highest number of ETFs on an exchange in the Middle East and North Africa region.

To support the increased demand for passive strategies, ADX partnered with FTSE Russell this year to create a suite of indices, including the introduction of the FTSE ADX Growth Market Index (FADGMI) in the third quarter.

Traded values on the growth market in the first nine months of the year increased 147.7 per cent year on year to Dh20.1bn while the market capitalisation increased 84.8 per cent to Dh76.6bn at the end of the third quarter, ADX said.