Nasdaq Dubai said it will launch futures on Abu Dhabi National Oil Company for Distribution, ADNOC Distribution, and Emaar Malls tomorrow, to enable investors to take positions on movements in the share price of the two companies in the coming months.
ADNOC Distribution is scheduled to list on Wednesday this week on Abu Dhabi Securities Exchange (ADX) following an Initial Public Offering, IPO, that raised Dh3.1 billion. Emaar Malls listed on Dubai Financial Market (DFM) in October 2014, after raising Dh5.8 billion in its IPO.
The addition of the two companies is the latest expansion of Nasdaq Dubai’s derivatives market, which will comprise single stock futures on 16 leading UAE-listed companies after opening with seven in September 2016. The derivatives market is attracting significant activity from investors, who make use of leverage to magnify the financial outcome of their trades.
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"ADNOC Distribution and Emaar Malls further diversify the opportunities for investors to hedge or take a position on our equity futures market. We will maintain the expansion of our derivatives platform by adding further products based on UAE and other regional markets in coming months and years," said Hamed Ali, Chief Executive of Nasdaq Dubai.
SHUAA Capital will provide market-making services on ADNOC Distribution and Emaar Malls to facilitate liquidity, as it does on all Nasdaq Dubai single stock futures.
Editor's note: The article has been slightly adapted from its original source.
