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Now you can trade Saudi Single Stock Futures on Nasdaq Dubai

Equity Futures: An Exciting New Market

Nasdaq Dubai’s equity futures market has attracted substantial trading since its launch with UAE single stock contracts. The market has expanded by adding UAE equity index futures as well as Saudi single stock and Saudi equity index futures.

What are Equity Futures?


Marwan Shurrab
Al Ramz Capital

Introduction of Equity Futures Market


Ayman Hamed
Integrated Securities

What are DFM Index Futures?


Hassan Alserkal
DFM

How can investors use ADI Futures


Henri Bergstrom
ADX

Hedging in Equity Futures


Hatim Al Atabani
Brokerage House Securities

Market Making on Equity Futures


Magdi Shannon
Shuaa Capital

Shorting in Equity Futures


Marwan Shurrab
Al Ramz Capital

Initial Margin in Equity Futures


Ma'an Al Bostami
Brokerage House Securities

Trading Opportunities in Equity Futures


Samir Zedan
Integrated Securities

FTSE Saudi Arabia Futures - Classification is key for investors


Gary Rynhoud
FTSE Russell

FTSE Saudi Arabia Futures - Nasdaq Dubai Futures provide access to Saudi market


Gary Rynhoud
FTSE Russell

FTSE Saudi Arabia Futures - Saudi market upgrade leads to invest inflows


Gary Rynhoud
FTSE Russell
DFMGI Futures

Contract Specifications

DFMGI futures are not sponsored, endorsed, sold or promoted by the Dubai Financial Market (“DFM”). DFM make no representation or warranty, express or implied, to the owners of the Product(s) or any member of the public regarding the advisability of investing in or trading in the Product(s) particularly or the ability of the Product(s) to track general market performance. DFM, in its capacity as the sole owner of the DFM Indices is licensing the DFM Indices, which is determined, composed and calculated by DFM without regard to the Licensee or the Product(s). DFM has no obligation to take the needs of the Licensee or the owners of the Product(s) into consideration in connection with the foregoing. DFM is not responsible for and has not participated in the product structure or design, pricing, listing, tradability, or settlement of the Product(s) DFM does not guarantee the quality, accuracy and/or the completeness of the DFM indices or any data included therein. DFM make no warranty, express or implied, as to results to be obtained by licensee, owners of the product(s), or any other person or entity from the use of the DFM indices or any data included therein in connection with the rights licensed hereunder or for any other use.

Downloads

DFMGI Futures - English Fact Sheet
ADI Futures

Contract Specifications

The ADX Indices is the property of ADX and is used under license by Nasdaq Dubai. ADX does not guarantee the quality, accuracy and/or the completeness of the ADX indices or any data included therein. ADX makes no warranty, express or implied, as to results to be obtained by licensee, owners of the product(s), or any other person or entity from the use of the ADX indices or any data included therein in connection with the rights licensed hereunder or for any other use.

Downloads

ADI Futures - English Fact Sheet

Benefits of Equity Futures

Nasdaq Dubai Equity Futures offer many benefits for investors.


Leverage

Leverage is a key feature of equity futures. The initial payment (called initial margin) that an investor must make is only between 10% and 30% of the value of the contract. This magnification of the effect of the capital, called leverage, can lead to significant gains (or losses). These gains (or losses) can be much larger than the amount invested.

Trading & Arbitrage

Investors can benefit from the out-performance of one stock price over another through pair trading, by going long on one stock and short on another stock through futures. There are also opportunities for arbitrage when futures and underlying stock prices diverge.

Profit when price falls as well as rises

Selling in advance (shorting) and buying back allows an investor to profit from a stock that is going down in price. Buying and then selling later allows an investor to profit from a stock that is going up.

Hedging

Allows portfolio managers and investors to hedge their existing market exposure, either increasing or decreasing their exposure to volatility of the underlying equity.

Cost Effective

Futures fees can be lower than fees for trading equities.

Standardisation

Futures contracts are always in a standardised form.

How to trade Equity Futures

An investor opens an account for futures trading with an approved Nasdaq Dubai broker. They can then place orders in the same way as for stock trades. The initial payment for the futures is the initial margin. Profit and losses will be settled on a daily basis (known as variation margin). Investors must keep sufficient cash balance with their broker to meet their initial margin and daily variation margin requirement. If an investor fails to meet their margin requirement within the time specified by the broker, the broker may close the investor’s positions.
How to trade Equity Futures

Potential

Movements of a share price or an index creates significant opportunities for investors in futures, whether they rise or fall.

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Partners

Futures Members

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