Brokerages collectively lost almost Dh10 million (US$2.7m) in the first quarter this year despite a recovery in volume of trading on the country's stock exchanges.
The losses were much reduced from last year's Dh77m but show brokerages are still struggling to shake off the effects of the market crash and collapse in volumes that followed the global financial crisis in 2008.
"The companies that are still operating are living on reserves, and those who will stay the longest are the ones with the biggest reserves," said Mohammed Ali Yasin, an independent analyst in Abu Dhabi. "As a business model, [the brokerage idea] doesn't work based on the figures from the past three years. People who have been longer know there's a cycle, but who has the patience?"
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