Dubai Financial Market to expand equity futures opportunities with launch of 3 new contracts

The Dubai Financial Market (DFM) today announced that it is planning to launch new equity futures contracts on individual stocks of three leading listed companies including; Aramex, Air Arabia and Emirates Integrated Telecommunications Company (DU), on April 18, 2021, in line with its strategy to diversify investment opportunities.

Similar to the inaugural equity futures contracts launched on October 18, 2020 on stocks of five listed companies namely; Emaar Properties, Dubai Islamic Bank, Emirates NBD, Emaar Development and Emaar Malls, the new contracts will have tenures of 1, 2 and 3 months.

Hassan Al Serkal, CEO of DFM said: "The planned new contracts are part of our plan to expand the range of contracts, creating new opportunities for investors. We are pleased with the growing interest from investors seeking to diversify and hedge their portfolios and access leverage in order to maximise their transactions and returns. The equity futures are also attracting increased number of licenced brokerage firms that are actively participating in trading activity and market making on the futures contracts."

It is noteworthy that total value of trading on contracts of five leading listed companies reached Dh57 million with 184,345 contracts. This activity has been strongly supported by the active participation of trading members and market makers led by Al Ramz Capital and BH Mubasher Financial Services, as both has been the most active brokers on equity futures since the introduction of this new product.

—Wam