#Dubai index hits over a decade high again; most Gulf shares down | Reuters

Dubai index hits over a decade high again; most Gulf shares down | Reuters

Dubai's benchmark stock index surged to its highest level in more than a decade on Thursday, while most other markets in the Gulf were muted as investors braced for fewer rate cuts by the U.S. Federal Reserve next year.

The Dubai index (.DFMGI), opens new tab rallied for a third straight session, up 0.6% at 5,112, its highest in 10 years and three months. Dubai Electricity and Water Authority (DEWAA.DU), opens new tab rose 1.5% and Emaar Development (EMAARDEV.DU), opens new tab advanced 2%.

Shuaa Capital (SHUA.DU), opens new tab climbed 5.4% to hit its highest in nearly four months. The investment bank's board on Friday approved a deal with a senior creditor to restructure 208 million dirhams ($56.64 million) in debt facilities.

The Dubai index is on track to post a fourth consecutive annual gain, surging 25.9% this year, its biggest jump since 2021.

"Dubai's solid fundamentals and diversified economic structure place it in a unique position compared to other GCC economies," said Hani Abuagla, senior market analyst at XTB MENA.

"Prospects for further market growth are high on strong projections and new IPO activities next year."

The Qatari benchmark index (.QSI), opens new tab slipped for a fourth straight session, ending 0.5% lower. Qatar National Bank (QNBK.QA), opens new tab dropped 1.2% and Ooredoo (ORDS.QA), opens new tab lost 1.3%.

Saudi Arabia's benchmark stock index (.TASI), opens new tab was down for a third straight day, falling 0.3%. Oil giant Saudi Aramco (2222.SE), opens new tab shed 0.3% and Saudi Industrial Investment (2250.SE), opens new tab dropped 2.7% after its board proposed a capital decrease and no dividend for second half of 2024 and first half of 2025.

The Abu Dhabi benchmark index (.FTFADGI), opens new tab eased 0.4%, pressured by a 1% decline in conglomerate International Holding (IHC.AD), opens new tab and a 0.7% drop in First Abu Dhabi Bank(FAB.AD), opens new tab.

Since Fed Chair Jerome Powell primed markets for fewer rate cuts next year, traders are now pricing in just about 35 basis points worth of easing for 2025.

The Fed's decisions have a significant impact on the Gulf region's monetary policy, as most currencies there are pegged to the U.S. dollar.

Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab fell 0.2%, weighed down by a 0.9% drop in Commercial International Bank (COMI.CA), opens new tab and a 2.1% loss in El Sewedy Electric (SWDY.CA), opens new tab.

#Dubai hits over a decade high; Most Gulf equities end lower | Reuters

Dubai hits over a decade high; Most Gulf equities end lower | Reuters

Dubai's benchmark share index jumped on Wednesday to its highest level in more than a decade, while most other markets in the Gulf were subdued as investors anticipated fewer rate cuts by the U.S. Federal Reserve in the coming year.

Dubai's benchmark stock index (.DFMGI), opens new tab extended its gain to a second straight session, rising 0.1% to 5,084, its highest in 10 years and three months. Emirates NBD (ENBD.DU), opens new tab rose 1.2% and supermarkets operator Spinneys 1961 Holding (SPINNEYS.DU), opens new tab advanced 1.3%.

Shuaa Capital (SHUA.DU), opens new tab rose 1.4% to its highest in over three months. The investment bank's board approved on Friday a deal with a senior creditor to restructure 208 million dirhams ($56.64 million) in debt facilities.

The Qatari benchmark index (.QSI), opens new tab slipped for a third straight session and ended 0.6% lower, with almost all stocks in the red. Qatar National Bank (QNBK.QA), opens new tab, the region's largest lender, fell 0.8% and Qatar Gas Transport (QGTS.QA), opens new tab dropped 1.5%.

Saudi Arabia's benchmark stock index (.TASI), opens new tab was down 0.2%, with most of its constituents posting losses. Al Rajhi Bank (1120.SE), opens new tab fell 0.7% and media giant MBC Group (4072.SE), opens new tab slipped 3.3%.

Red Sea International (4230.SE), opens new tab climbed 6.5% after the developer said on Tuesday it had signed a 318.9 million riyals contract with Modern Building Leaders Co.

"The market is expected to maintain its volatile pattern this week, with attention shifting to potential fourth-quarter results at the beginning of the new year and ongoing IPOs", said Joseph Dahrieh, managing principal at Tickmill.

The Abu Dhabi benchmark index (.FTFADGI), opens new tab snapped its three-session winning streak and fell 0.2%, pressured by a 1% decline in conglomerate International Holding (IHC.AD), opens new tab and a 0.9% loss in Alpha Dhabi Holding (ALPHADHABI.AD), opens new tab.

Fed policymakers lowered their rate cut projections for 2025 to 50 basis points, from 100 basis points, and increased their inflation forecast. Traders are pricing in about 35 basis points of easing for 2025.

The Fed's decisions have a significant impact on the Gulf region's monetary policy, as most currencies there are pegged to the U.S. dollar.

Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab edged up 0.1%, aided by a 4.7% rise in Alexandria Container (ALCN.CA), opens new tab and a 0.9% gain in El Sewedy Electric (SWDY.CA), opens new tab.

The International Monetary Fund reached a staff-level agreement with Egypt, potentially unlocking a $1.2 billion disbursement.

Gulf shares end mixed; Egypt extends losses | Reuters

Gulf shares end mixed; Egypt extends losses | Reuters

Stock markets in the Gulf were mixed on Tuesday as oil prices held steady and investors anticipated fewer rate cuts by the U.S. Federal Reserve in the coming year.

Oil prices, a catalyst for the Gulf's financial markets, reversed the prior session's losses and gained 0.6% with Brent trading at $73.06 a barrel by 1250 GMT.

The Abu Dhabi benchmark index (.FTFADGI), opens new tab added 0.4%, extending its rally to a third session. First Abu Dhabi Bank (FAB.AD), opens new tab, was up 2.1% and Palms Sports (PALMS.AD), opens new tab climbed 3.9%.

Sports management company Palms said on Monday it has renewed a 206 million dirhams ($56.09 million) contract with UAE's ministry of education.

Dubai's benchmark stock index (.DFMGI), opens new tab rose 0.5%, lifted by gains in real estate, industry and finance stocks. Emaar Development (EMAARDEV.DU), opens new tab advanced 2.4% and Emirates NBD (ENBD.DU), opens new tab, Dubai's largest lender, gained 1%.

Shuaa Capital (SHUA.DU), opens new tab surged 5.3% to its highest in over three months. The investment bank's board approved on Friday a deal with a senior creditor to restructure 208 million dirhams ($56.64 million) in debt facilities.

Saudi Arabia's benchmark stock index (.TASI), opens new tab was down 0.3%, with most sectors in the red. Dr Sulaiman Al Habib Medical Services (4013.SE), opens new tab slipped 1.3% and oil giant Saudi Aramco (2222.SE), opens new tab lost 0.9%.

First Milling Co (2283.SE), opens new tab added 1.9% after its board approved the construction of a flour milling unit at an estimated cost of 123 million riyals ($32.75 million).

The Qatari benchmark index (.QSI), opens new tab eased 0.1%, pressured by a 1.1% decline in Qatar International Islamic Bank (QIIB.QA), opens new tab and a 1.7% drop in Qatar Gas Transport (QGTS.QA), opens new tab.

U.S. central bank policymakers lowered their rate cut projections for 2025 to 50 basis points, from 100 basis points, and increased their inflation forecast. Traders are pricing in just about 35 basis points of easing for 2025.

The Fed's decisions have a significant impact on the Gulf region's monetary policy, as most currencies there are pegged to the U.S. dollar.

Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab was down for a third day, dropping 0.5%. Commercial International Bank (COMI.CA), opens new tab slipped 1.4% and El Sewedy Electric (SWDY.CA), opens new tab lost 2.1%.

Egypt's central bank is expected to leave its overnight interest rates unchanged at a Dec. 26 meeting, a Reuters poll showed on Monday.

Most Gulf shares gain on US inflation relief; Egypt extends losses | Reuters

Most Gulf shares gain on US inflation relief; Egypt extends losses | Reuters

Most stock markets in the Gulf ended higher on Monday, in step with global equities, after cooler-than-expected U.S. inflation data revived hopes of further policy easing by the Federal Reserve.

Following November inflation data in the world's largest economy, traders raised their rate cut bets for 2025, now expecting a cut first in March and then again by October.

The Fed's decisions have a significant impact on the Gulf region's monetary policy, as most currencies there are pegged to the U.S. dollar.

Saudi Arabia's benchmark stock index (.TASI), opens new tab bounced back after two consecutive sessions of losses and gained 0.8%, with most sectors in the green.

Insurer Medgulf (8030.SE), opens new tab climbed 4.2% after it signed a contract to provide health insurance services to the state-owned Saudi Electricity (5110.SE), opens new tab.

Knowledge Economic City Company (4310.SE), opens new tab gained 1.4% after the developer said it has signed an agreement with Sidra Capital and Raseel Properties to establish a 1.04-billion riyals ($276.75 million) investment fund.

The Abu Dhabi benchmark index (.FTFADGI), opens new tab was up 0.5%. Food retailer and real estate investor MAIR Group (MAIR.AD), opens new tab surged 12.4%, while Abu Dhabi National Energy Company (TAQA.AD), opens new tab gained 1.9%.

Energy firm TAQA said on Friday that its 43%-owned Masdar had completed the acquisition of Saeta Yield for an implied enterprise value of EUR 1.2 billion ($1.25 billion).

Dubai's benchmark stock index (.DFMGI), opens new tab was little changed, with Emaar Properties (EMAR.DU), opens new tab slipping 1.6% and Emirates NBD (ENBD.DU), opens new tab, Dubai's largest lender, rising 3.7%.

The Qatari benchmark index (.QSI), opens new tab fell 0.2%, with most sectors in negative territory. Qatar National Bank (QNBK.QA), opens new tab, the region's largest lender, fell 0.7% and telecom service provider Ooredoo (ORDS.QA), opens new tab shed 0.5%.

Meanwhile, Qatar's energy minister told the Financial Times on Sunday that the country would stop shipping gas to the European Union if member states strictly enforce a new law cracking down on forced labour and environmental damage.

Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab was down for a second day, dropping 0.8%, with almost all stocks posting losses. Commercial International Bank (COMI.CA), opens new tab slipped 1.1% and EFG Holding (HRHO.CA), opens new tab slid 2.6%.

"(The) market trended lower as (a)correction phase continued, with prices seeing strong volatility," said Hani Abuagla, senior market analyst at XTB MENA.
"The market also awaits signs of improved economic stability to boost investor sentiment."

Hedge Funds From East Join Western Peers in Booming Mideast Hubs - Bloomberg

Hedge Funds From East Join Western Peers in Booming Mideast Hubs - Bloomberg

Abu Dhabi has already drawn the likes of Brevan Howard Asset Management and Marshall Wace as it established itself as a burgeoning hub for hedge funds. Now, a new group of heavyweights are looking to join the mix.

Hillhouse Investment Management and CPE — the Chinese firm formerly known as Citic Private Equity — have held early-stage talks on setting up offices in Abu Dhabi, according to people familiar with the matter. A representative for the city’s financial freezone, ADGM, now expects two Chinese private equity firms to set up a base there shortly.

The moves show there’s a growing number of Asian investment outfits looking to join their western peers in the United Arab Emirates, where a bevy of deep-pocketed sovereign wealth funds, the country’s tax-free status and favorable time zones have helped cities like Abu Dhabi and Dubai become more serious competitors to financial hubs like London and Hong Kong.

“Abu Dhabi is absolutely nailing it,” Paul Marshall, Marshall Wace’s co-founder, said at the city’s annual financial confab this month, where he exhorted the city’s tax benefits and unveiled his firm’s newest office as one of the headline speakers. “It’s a very attractive place.”

Abu Dhabi isn’t alone in making overtures to investing firms.

Dubai’s financial regulator and the Alternative Investment Management Association recently co-hosted executives from Chinese wealth and asset management firms with the goal of getting some of them to expand to the region. Already, the hedge fund industry’s headcount in the city has topped 1,000 helped by firms like Millennium Management.

“Interest from Chinese companies has surged during 2024,” the Dubai International Financial Center said in a statement. At least two heavyweights have already set up in the emirate in recent months, including Dymon Asia Capital and Alp Ercil’s Asia Research & Capital Management.

The UAE has close ties to China, which has been its top trading partner since 2020. Asian firms looking to enter Dubai or Abu Dhabi are also hoping the cities will serve as a gateway for them to access nearby markets like India.

The country’s twin pools of capital are also an important part of the allure. Abu Dhabi is home to sovereign wealth funds that control close to $1.7 trillion and Dubai, 90 minutes away, houses family offices wielding $1.2 trillion.

But for all of the UAE’s successes, the nascent industry still faces a series of challenges. For one thing, the vast majority of firms’ money is still being deployed overseas given there’s relatively fewer investment opportunities in the Middle East.

And there’s been at least one high-profile instance of plans not working out: Earlier this year, Ray Dalio and Abu Dhabi artificial intelligence firm G42 shelved a planned investment venture. It was seen as a blow for Abu Dhabi because the Bridgewater Associates founder has been the face of the city’s recent success in drawing hedge fund luminaries and called it a “renaissance state” at this month’s event.

Meantime, much of the infrastructure and headcount to support the hedge fund sector is still based in traditional centers like London and New York.

Countries often try to lure top hedge funds by having very attractive tax regimes that might lure a handful of senior portfolio managers but fail to draw in the analysts and the associates who support their day-to-day work in the markets, Citadel Chief Executive Officer Ken Griffin said earlier this year.

“Having a PM located in a low-tax jurisdiction on Zoom intermittently with a team back in London — that’s not a winning formula,” Griffin said at the time.
Side Hustle Crew

Still, there’s now a growing community of hedge fund managers and institutional investors in both emirates — and events have started to mushroom across the country for traders to meet and swap stories.

In Abu Dhabi, for instance, many executives attend an informal gathering every month to socialize. Known as the “Side Hustle Crew,” the 350-person strong club even has sub groups focused on everything from crypto to wine tasting to golf.

Meanwhile, Morgan Stanley is planning to turn its inaugural two-day event in Abu Dhabi into an annual affair for hedge funds and institutional investors after the first confab drew significant interest. Goldman Sachs Group Inc. and JPMorgan Chase & Co. are planning their own events next year.

“I sit in a cafe here and see people in charge of half a trillion dollars pass by me in two hours,” said Bhaskar Dasgupta, who moved to Abu Dhabi after stints with banks including HSBC Holdings Plc in London. He now runs his own family office from the emirate.

Most Gulf markets muted as concern lingers over fewer Fed rate cuts | Reuters

Most Gulf markets muted as concern lingers over fewer Fed rate cuts | Reuters

Stock markets in the Gulf were mostly subdued on Sunday, weighed down by concerns that the U.S. Federal Reserve will make fewer rate cuts next year, though a cooler-than-expected inflation report kept the losses in check.

Markets were jolted after the Fed forecast only two rate reductions in 2025 and raised its inflation estimate, in a nod to the economy's continued resilience and still-high price rises.

Following the November inflation data, traders raised their rate cut bets for 2025, now expecting a rate cut first in March and then again by October.

The Fed's decisions have a significant impact on the Gulf region's monetary policy, as most currencies there are pegged to the U.S. dollar.

Saudi Arabia's benchmark index (.TASI), opens new tab was down for a second straight session, falling 0.4%, with most sectors in the red.

Healthcare provider Dr Sulaiman Al Habib Medical Services (4013.SE), opens new tab slipped 4% and Saudi Aramco (2222.SE), opens new tab lost 1.9%.

SABIC Agri-Nutrients Company (2020.SE), opens new tab gained 3% after the fertilizer and chemicals maker declared a cash dividend of 3 riyals per share for the second half of the year and said it has amended the protocol for declaration and distribution of interim dividends.

The Qatari benchmark index (.QSI), opens new tab rose 1% as it resumed trading after a two-day break for a national holiday, lifted by gains in almost all stocks. Qatar Islamic Bank (QISB.QA), opens new tab climbed 1.6%, while Industries Qatar (IQCD.QA), opens new tab gained 0.9%.

Meanwhile, Qatar's energy minister told the Financial Times the country would stop shipping gas to the European Union if member states strictly enforce a new law cracking down on forced labour and environmental damage.

Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab eased 0.5% with Commercial International Bank shedding 0.5% and E-Finance for Digital falling 2.5%.

Most Gulf shares join global decline as Fed sounds hawkish | Reuters

Most Gulf shares join global decline as Fed sounds hawkish | Reuters

Most stock markets in the Gulf tracked global equities lower on Thursday after the U.S. Federal Reserve signaled a slower pace of rate cuts in the coming year.

Barring Kuwait, all central banks of the Gulf Cooperation Council cut key interest rates on Wednesday, following the Federal Reserve's decision to reduce U.S. rates by a quarter of a percentage point.

The Fed cut interest rates as expected, but Powell's explicit references to the need for caution from here on sent markets into a tailspin.

Saudi Arabia's benchmark stock index (.TASI), opens new tab slipped 0.6%, pressured by losses in most sectors. Al Rajhi Bank (1120.SE), opens new tab fell 1.6% and Almarai Company (2280.SE), opens new tab lost 2.1%.

Saudi Arabia's largest dairy producer, Almrai, said its board had approved a full-year cash dividend of 1 riyal per share, the same as the previous year.

Savola Group (2050.SE), opens new tab surged 10% in its third session of gain and hit its highest level in more than nine years.

The Kingdom's largest foods producer, Savola, said eligible shareholders will receive Almarai shares on Dec 19, after its shareholders approved Sunday the distribution of its entire 34.52% stake in Almarai, valued at 8.34 billion riyals ($2.22 billion), as in-kind compensation for a capital reduction.

Among other gainers, Saudi Aramco (2222.SE), opens new tab rose 1.9%.
Saudi Vice Minister of Mining Affairs said on Tuesday that Lithium Infinity, a startup, will lead the lithium extraction project with cooperation from Aramco and Ma'aden.

The Abu Dhabi benchmark index (.FTFADGI), opens new tab fell 0.2%, weighed down by a 1.8% loss in ADNOC Drilling (ADNOCDRILL.AD), opens new tab, while ADNOC Logistics (ADNOCLS.AD), opens new tab was up 1.5% after it said its integrated logistics business segment expanded significantly in 2024, with 20 offshore assets added.

Dubai's benchmark stock index (.DFMGI), opens new tab was up 0.2%, lifted by gains in most sectors. Emaar Properties (EMAR.DU), opens new tab rose 2.4% and Emirates NBD (ENBD.DU), opens new tab gained 2%.

Dubai's largest lender, ENBD, said Wednesday it and Abu Dhabi Islamic Bank (ADIB.AD), opens new tab have closed a £140 million club deal for student accommodation in London.

Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab edged up 0.1% after two straight session of loss, with Commercial International Bank(COMI.CA), opens new tab rising 1.1% and Abu Qir Fertilizer (ABUK.CA), opens new tab gaining 3.1%.

"Market remains under pressure and could see some volatility as investors react to the potential for an increasingly stronger dollar", said Milad Azar, market analyst at XTB MENA.

Italy’s Azimut and China Universal team up on #AbuDhabi #UAE ETF link

Italy’s Azimut and China Universal team up on Abu Dhabi ETF link

Italian asset manager Azimut Group and China Universal Asset Management are teaming up to launch an exchange traded fund that will be listed in Abu Dhabi as well as a second ETF in Shanghai to give Chinese and United Arab Emirates investors access to each other’s equities markets. 

Azimut Group will launch an ETF on the Abu Dhabi Securities Exchange that will invest in China Universal AM’s existing Shanghai-listed ETF tracking the CSI A500 index, Azimut confirmed. 

In turn, China Universal AM will roll out an ETF to be listed on the Shanghai bourse that will feed into a separate Abu Dhabi-listed ETF that Azimut plans to launch. It will invest in public companies in the pan-Arab region. 

Azimut expects to launch the Arab company-tracking ETF by the third quarter in 2025, based on an index that covers large, liquid stocks, the spokesperson told Ignites Asia. 

The pair of new ETFs will become part of an ETF connect programme between China and the UAE, Azimut said. 

China has stepped up financial co-operation with Middle East nations over the past few years, and has used ETFs as a way to facilitate cross-border capital flows and closer corporate ties, as it seeks to reinforce the message of further opening up its financial sector. 

The Shenzhen Stock Exchange and Dubai Financial Market in August signed a memorandum of understanding to promote cross-border investing in China and the UAE, and explore co-operation in products including ETFs. 

That agreement was followed by the Shanghai stock exchange, which said earlier in December that it had signed an MOU with the Qatar stock exchange to explore potential co-operation in areas such as ETFs, data and index products. 

The first two ETFs listed in China that invest solely in Saudi Arabia’s equities market, launched by Huatai-PineBridge Fund Management and China Southern Fund Management, enjoyed strong initial demand when they were listed in July this year. 

They feed into CSOP Asset Management‘s CSOP Saudi Arabia ETF, the first Saudi equities market-focused ETF in the Hong Kong exchange, which was launched last year and attracted US$1bn in initial investment. 

China is rapidly expanding ETF tie-ups with other major financial hubs around Asia. 

The Monetary Authority of Singapore said last month it was in talks with its Chinese counterpart to expand the number of ETFs on a cross-listing scheme linking Singapore and Chinese exchanges 

Announced in late 2021 to connect ETFs in the Singapore and Shenzhen bourses, the cross-listing programme was expanded in 2023 to cover the Shanghai exchange. 

Although only seven ETFs had been launched in the scheme by the end of November, amid difficulties in reaching commercial agreements between fund firms and a weak Chinese market that slowed product pipelines, industry participants expected new product launches to pick up in 2025. 

Russell Wang, head of securitised products for global markets at the Singapore Exchange, said the expectation of further government reforms and a rebound in China’s onshore markets meant ETF issuers were now readying more products for next year.


*Ignites Europe is a news service published by FT Specialist for professionals working in the asset management industry. Trials and subscriptions are available at igniteseurope.com.

#Saudi Global Ports Said to Pick Banks for Up to $1 Billion IPO - Bloomberg

Saudi Global Ports Said to Pick Banks for Up to $1 Billion IPO - Bloomberg

State-backed Saudi Global Ports Co. has picked banks including Goldman Sachs Group Inc. and HSBC Holdings Plc to help arrange a planned Riyadh initial public offering, according to people familiar with the matter.

The port operator owned by the kingdom’s Public Investment Fund and Singapore’s PSA International Pte could be listed as early as next year, according to the people, who declined to be named discussing confidential information. The deal could raise up to $1 billion, the people said.

No final decisions have been made on the timing and size of the offering. Representatives for Saudi Global Ports, PIF, PSA, Goldman and HSBC declined to comment.

Bloomberg News previously reported that the port operator was among the companies owned by the PIF that was being considered for an IPO. PSA is owned by Singapore’s state investor Temasek Holdings Pte.

The PIF is the main entity tasked with delivering Crown Prince Mohammed Bin Salman’s multitrillion-dollar Vision 2030 plan, which envisages substantial investments into the kingdom’s transports and logistics industry, among others.

The nearly $1 trillion wealth fund is lining up stake sales in portfolio companies — including medical procurement firm Nupco — to finance the economy’s diversification away from oil. This year, the fund has raised over $13 billion from secondary share sales in Saudi Aramco and Saudi Telecommunications.

Saudi Global Ports was formed in 2012 and operates container terminals in King Abdulaziz Port on the country’s east coast, according to its website. The port is the largest container terminal on the Persian Gulf. It also manages Riyadh Dry Port.

Infinity Power: Masdar-Backed Renewable Energy Developer Mulling #AbuDhabi #UAE IPO - Bloomberg

Infinity Power: Masdar-Backed Renewable Energy Developer Mulling Abu Dhabi IPO - Bloomberg

Infinity Power, a renewable energy developer partly owned by Masdar, is considering selling its shares on the Abu Dhabi stock exchange within the next two or three years, according to its chairman.

The Africa-focused firm’s timeline for listing will depend on market conditions, Mohamed Ismail Mansour said in an interview on Tuesday. Infinity Power, in which United Arab Emirates-based Masdar has a 49% stake, is also considering listing on exchanges in Dubai, Johannesburg, London, and Cairo.

The Middle East has become a global hotspot for initial public offerings, raising more than $12 billion this year. The UAE continues to lead the region in terms of listing volumes despite increased activity in Saudi Arabia and Oman.

“If we’re going to list today, our preference would be Abu Dhabi,” Mansour said. “Maybe that changes in a year or two. It depends on how the markets evolve.”

The company would probably list 20-30% of its shares initially and is also looking “very seriously” at issuing green bonds, he said. Infinity Power is working on getting a credit rating and hopes to issue a bond by the beginning of 2026, he added.

Gulf equities end mixed; Fed rate outlook in focus | Reuters

Gulf equities end mixed; Fed rate outlook in focus | Reuters

Gulf shares were mixed on Wednesday as investors exercised caution ahead of the U.S. Federal Reserve's last policy announcement of the year after economic data indicated consumer spending remained solid.

The U.S. central bank is widely expected to deliver a 25-basis-point interest rate cut at the end of its meeting later in the day, but the focus will be on how much further Fed officials think they will reduce rates in 2025.

The Fed's decisions impact monetary policy in the Gulf, where most currencies, including the dirham, are pegged to the U.S. dollar.

Shares in Dubai (.DFMGI), opens new tab slipped 0.8% after the benchmark stock index hit its highest in more than a decade for two straight sessions. Emirates NBD (ENBD.DU), opens new tab, Dubai's largest lender, dropped 4.5% and Emaar Properties (EMAR.DU), opens new tab lost 2.8%.

Saudi Arabia's benchmark stock index (.TASI), opens new tab bounced back from losses in the previous session, inching up 0.1%. Oil major Saudi Aramco (2222.SE), opens new tab rose 1.1%, while Savola Group (2050.SE), opens new tab surged 10% to hit an eight-month high.

The Kingdom's largest foods producer, Savola, said on Sunday its shareholders had approved the board's proposal to reduce capital and compensate the eligible shareholders by paying 8.34 billion riyals ($2.22 billion) in the form of Almarai shares.

Meanwhile, Saudi Arabia's crude oil exports in October rose to their highest level in four months.

The Abu Dhabi benchmark index (.FTFADGI), opens new tab was up 0.3%, lifted by gains in most sectors. Conglomerate Alpha Dhabi Holding (ALPHADHABI.AD), opens new tab climbed 5.6%, while Ghitha Holding (GHITHA.AD), opens new tab rose 4%.

The food and beverage giant Ghitha said on Tuesday it has amicably scrapped the deal to acquire a 44% stake in MNG Havayollari ve Tasimacilik A.S.

Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab was down 0.3%, with most constituents posting losses. Talaat Moustafa Group (TMGH.CA), opens new tab dropped 1.4% and EFG Holding (HRHO.CA), opens new tab slid 2.5%.

"While investors await the Fed's decision, concerns remain that a hawkish outlook could strengthen the U.S. dollar, which may put additional pressure on the Egyptian pound, said George Pavel, general manager at Naga.com Middle East.

"This currency dynamic could negatively impact market sentiment".

Private Credit Has New Opportunities in the Gulf, Lawrence Golub Says - Bloomberg

Private Credit Has New Opportunities in the Gulf, Lawrence Golub Says - Bloomberg

New mid-sized businesses springing up in the Gulf will offer fresh lending opportunities to private credit firms in the region, the chief executive officer of Golub Capital said.

Initially, the opportunities for direct lending in the region are likely to be in the “hundreds of millions not billions of dollars,” Lawrence Golub, CEO of the eponymous private credit firm said in an interview. The Gulf has “a great many government-related companies and a great many large family enterprises, who don’t really have any need for direct lending capital,” he said.

Instead medium-sized businesses, which are really starting to grow in the United Arab Emirates and Saudi Arabia, are an area where the firm can expand into, Golub said.

Golub Capital has opened an office in Abu Dhabi, becoming the latest private credit firm to expand in the region where scores of asset managers and hedge funds have flocked in search of capital. Pemberton Asset Management, one of Europe’s largest private-credit investors, raised at least $1 billion along with Abu Dhabi Investment Authority in June to back private equity firms.

Institutions such as BlackRock Inc. and Blackstone Inc. have made the Middle East a hub for fundraising, targeting state-backed investors and massive family offices. But to date, international firms have done little by way of investing locally, despite the efforts of Gulf governments. To date, private credit dealflow in the region remains limited.

“We are studying, but not yet ready to take action on direct lending in the region. We’re not ready to launch it yet,” Golub said. “Now we are taking other actions to be more engaged in the communities here.”

The private credit player, with around $70 billion in loans outstanding, hired Naser Almutairi as managing director for the Gulf region and to lead its Abu Dhabi office.

The arrival of private credit is a logical next step for a region that’s already drawn hedge funds, crypto firms and Russian billionaires in search of deep-pocketed business partners.

Among the entrants this year, private credit lender Monroe Capital is opening an office in Abu Dhabi after hiring a head of Middle East distribution. Blue Owl and Hayfin Capital Management are also expanding in the region.

Emaar lifts #Dubai to over decade-high; most Gulf shares slip | Reuters

Emaar lifts Dubai to over decade-high; most Gulf shares slip | Reuters

Dubai's benchmark share index surged on Tuesday to its highest level in more than a decade, while most other markets in the Gulf tracked global equities lower ahead of the U.S. Federal Reserve's monetary policy meeting later this week.

Dubai's benchmark stock index (.DFMGI), opens new tab extended its rally to a second straight session, rising 0.6% to 5,080, its highest in 10 years and three months.

Shares of Emaar Properties (EMAR.DU), opens new tab were up for a second day, rising 15% to their highest in nearly 19 years, after the developer said on Monday it had planned to declare dividends at 100% of share capital for 2024 and the next few years, amounting to 8.80 billion dirhams ($2.4 billion).

The Qatari benchmark index (.QSI), opens new tab snapped its six-session winning streak and slipped 1.1%, with almost all stocks in the red. Industries Qatar (IQCD.QA), opens new tab dropped 2.7% and Qatar Islamic Bank (QISB.QA), opens new tab slid 1.1%.

Saudi Arabia's benchmark stock index (.TASI), opens new tab slipped 1.2%, with all sectors in the negative territory. Oil major Saudi Aramco (2222.SE), opens new tab dropped 1.2% and Almarai (2280.SE), opens new tab lost 4.3%.

Savola Group (2050.SE), opens new tab soared 10% after the Kingdom's largest foods producer said on Sunday its shareholders approved the board's proposal to reduce capital and compensate by paying 8.34 billion riyals ($2.22 billion) in the form of Almarai shares.

The Abu Dhabi benchmark index (.FTFADGI), opens new tab was down 0.2%, pressured by losses in most sectors. Aldar Properties (ALDAR.AD), opens new tab lost 1.1% while ADNOC Gas (ADNOCGAS.AD), opens new tab slid 1.2% after the natural gas producer appointed a new CEO.

Among other fallers, ADNOC Drilling (ADNOCDRILL.AD), opens new tab was down 0.5%. The drilling unit of state-owned energy giant ADNOC, said it has formed an 'unconventional' energy venture with SLB, Patterson-UTI.

Meanwhile, the U.S. central bank is expected to cut rates by a quarter of a percentage point at its Dec. 17-18 meeting, which will also provide an updated look at how much further Fed officials think they will reduce rates in 2025 and perhaps into 2026.

The Fed's decisions impact monetary policy in the Gulf, where most currencies, including the riyals, are pegged to the U.S. dollar.

Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab was down 0.6%, weighed down by a 2% drop in Commercial International Bank (COMI.CA), opens new tab and a 3.6% fall in Abu Qir Fertilizers (ABUK.CA), opens new tab.

#Dubai outperforms other Gulf markets as Fed rate decision eyed | Reuters

Dubai outperforms other Gulf markets as Fed rate decision eyed | Reuters

Dubai's benchmark share index jumped on Monday to its highest level in more than a decade, lifted by real estate and finance, while most other markets in the Gulf also gained ahead of the U.S. Federal Reserve interest rate decision due later this week.

The U.S. central bank is expected to cut rates by a quarter of a percentage point at its Dec. 17 to 18 meeting, which will also provide an updated look at how much further Fed officials think they will reduce rates in 2025 and perhaps into 2026.

The Fed's decisions impact monetary policy in the Gulf, where most currencies, including the dirhams, are pegged to the U.S. dollar.

Dubai's benchmark stock index (.DFMGI), opens new tab jumped 4.5% to 5,048, its highest in 10 years and two months. Emirates NBD(ENBD.DU), opens new tab, Dubai's largest lender, rose 9.3%.

Shares in Emaar Properties (EMAR.DU), opens new tab surged 14.7% to their highest level in nearly 17 years, after the blue-chip developer said it had planned to declare dividends at 100% of share capital for 2024 and next few years, amounting to 8.80 billion dirhams ($2.4 billion).

Meanwhile, HSBC raised its target price for the stock to 13.2 dirhams from 10.8 dirhams.

The Qatari benchmark index (.QSI), opens new tab extended its rally to a sixth session, gaining 0.4%. Industries Qatar (IQCD.QA), opens new tab rose 2.1% and Gulf International Services (GIS) added 0.4%.

State-owned energy giant QatarEnergy, which holds significant stakes in GIS and IQCD, reached an agreement on Sunday with Harmattan Energy Limited to acquire a 27.5% interest in an offshore exploration block in Namibia.

Saudi Arabia's benchmark stock index (.TASI), opens new tab bounced back after three straight sessions of losses, and rose 0.3%. ACWA Power (2082.SE), opens new tab gained 3.2% and Batic Investments and Logistics Co (4110.SE), opens new tab climbed 4.1%.

Conglomerate Batic said it had reached a memorandum of understanding with Parkin Company (PARKIN.DU), opens new tab to explore smart city parking solutions across Saudi Arabia.

The Abu Dhabi benchmark index (.FTFADGI), opens new tab was up 0.2%, helped by a 3.6% rise in Aldar Properties (ALDAR.AD), opens new tab and a 4.1% rise in Abu Dhabi Commercial Bank (ADCB.AD), opens new tab.

Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab was up 0.1% with GB Auto (GBCO.CA), opens new tab rising 4.4% and Talaat Moustafa Group (TMGH.CA), opens new tab adding 2.5%.

Most Gulf markets muted ahead of Fed rate decision; #Qatar extends gains | Reuters

Most Gulf markets muted ahead of Fed rate decision; Qatar extends gains | Reuters

Most stock markets in the Gulf ended lower on Sunday as investors awaited clues on the future path for interest rates from next week's U.S. Federal Reserve meeting.

Data released on Thursday showed higher than expected U.S. producer prices in November. The bets for a cut at the Fed's Dec. 17-18 meeting stand at close to 97%, according to CME's FedWatch Tool. However, they indicate chances of a pause in January.

The Fed's decisions have a significant impact on the region's monetary policy, as most currencies there are pegged to the U.S. dollar.

Saudi Arabia's benchmark index (.TASI), opens new tab was down for a third straight session, falling 0.3%, with most sectors in the red.

Riyad Bank (1010.SE), opens new tab lost 2.1% while Dar Al Arkan Real Estate Development (4300.SE), opens new tab shed 0.7%. The developer's LSE-listed international arm, Dar Global has agreed a number of deals with The Trump Organization, including plans for Trump towers in Jeddah and Dubai.

However, Saudi Cable (2110.SE), opens new tab surged 8.5% after its Bahrain branch signed a project contract with Diyar Al Muharraq Co.

Oman's benchmark index (.MSX30), opens new tab slipped 0.7%, with all of its constituents seeing losses. Bank Dhofar (BKDB.OM), opens new tab dropped 4.7% and Voltamp Energy (VOES.OM), opens new tab slid 9%.

OQ Base Industries (OQBI.OM), opens new tab ended 3.6% lower after falling as much as 10% in early trading on its market debut. The petroleum wholesaler, OQBI, has raised $488.8 million through a 49% stake sale in initial public offering.

The Qatari benchmark index (.QSI), opens new tab extended its rally to a fifth session, gaining 0.1%. Qatar Fuel (QFLS.QA), opens new tab rose 1.8% and Gulf International Services (GISS.QA), opens new tab (GIS) climbed 3%.

Meanwhile, state-owned energy giant QatarEnergy, which holds significant stakes in GIS and Qatar Fuel has entered into an agreement with Harmattan Energy Limited to acquire a 27.5% interest in an offshore exploration block in Namibia.

Among other gainers, Lesha Bank (QFBQ.QA), opens new tab was up 2.1% after the Islamic lender said it has acquired five Boeing 777-300ER aircraft worth around 1 billion riyals ($274.35 million) to lease them to an airline.

Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab eased 0.1%, with Talaat Moustafa Group (TMGH.CA), opens new tab sliding 1.8% and Eastern Company (EAST.CA), opens new tab falling 0.8%.

However, Commercial International Bank (COMI.CA), opens new tab added 0.6% and Palm Hills Development (PHDC.CA), opens new tab rose 1.4%. The real estate developer, PHD, said on Thursday it has raised its stake in Taaleem Management Services (TALM.CA), opens new tab to 32.61%.

Real estate and industrial stocks lift #Dubai; #AbuDhabi falls | Reuters #UAE

Real estate and industrial stocks lift Dubai; Abu Dhabi falls | Reuters

Dubai's main share index closed higher on Friday, in line with oil prices, boosted by gains in real estate and industrial sector stocks while the Abu Dhabi index declined.

Dubai's main market (.DFMGI), opens new tab rose 0.4%, extending gains to the third session, lifted by a 1.5% surge in blue-chip developer Emaar Properties (EMAR.DU), opens new tab and a 1.9% jump in state-owned parking lot operator Parkin Company (PARKIN.DU), opens new tab.

Among the gainers, investment bank Shuaa Capital (SHUA.DU), opens new tab gained 1.5% after the bank reached a settlement agreement with a key creditor as part of ongoing capital optimisation initiative.

However, Abu Dhabi's benchmark index (.FTFADGI), opens new tab edged down 0.1%, snapping two sessions' gains, dragged down by a 1.4% decline in UAE's largest lender First Abu Dhabi Bank (FAB.AD), opens new tab and a 0.9% loss in Emirates Telecom Group (EAND.AD), opens new tab.

The Abu Dhabi stock market was relatively stable, continuing to trade within a three-week price range with potential support coming from an oil price recovery, said George Pavel, general manager at Naga.com Middle East.

Dubai's index logged 0.5% losses on a weekly basis, while Abu Dhabi closed flat, according to LSEG data.

However, Sharjah-based Dana Gas (DANA.AD), opens new tab gained 1.4% after it received a $20 million payment in Egypt, and said it plans to reinvest the funds in Egypt as part of the consolidation agreement with its government.

Meanwhile, oil prices - a key catalyst for the Gulf's financial market - drifted higher on supply jitters driven by newly added sanctions on Russia and Iran and hopes that Chinese stimulus measures could lift demand in the world's No. 2 oil consumer.
Brent crude was up 0.78% to $73.41 a barrel by 1041 GMT.

Most Gulf shares rise on Fed rate-cut bets; #Saudi extends loss | Reuters

Most Gulf shares rise on Fed rate-cut bets; Saudi extends loss | Reuters

Most stock markets in the Gulf ended higher on Thursday, in step with a global equity rally after U.S. consumer inflation data cemented bets of a Federal Reserve interest-rate cut next week.

A Labor Department report showed on Wednesday U.S. consumer prices in November marked their biggest increase in seven months.

Markets are pricing in a 97% chance the Fed will cut rates by 25 basis points next week, up from an 86% chance before the data.

The Fed's decisions impact monetary policy in the Gulf, where most currencies, including the Saudi riyal, are pegged to the U.S. dollar.

Dubai's benchmark stock index (.DFMGI), opens new tab reversed early losses and ended 0.3% higher with most sectors in the green. Emaar Properties (EMAR.DU), opens new tab rose 1.6% and Emirates NBD (ENBD.DU), opens new tab added 1%.

Dubai's largest lender, ENBD, has invested in Zodia Custody, a London-based crypto firm.

The Abu Dhabi benchmark index (.FTFADGI), opens new tab was up for a second consecutive session, rising 0.1%. Conglomerate Alpha Dhabi Holding (ALPHADHABI.AD), opens new tab gained 2.9% and Abu Dhabi Commercial Bank (ADCB.AD), opens new tab added 2.3%.

The Qatari benchmark index (.QSI), opens new tab extended its rally to a fourth straight session, rising 0.2% with almost all sectors in positive territory. Doha Bank (DOBK.QA), opens new tab gained 1.8%, and Mesaieed Petrochemical (MPHC.QA), opens new tab added 0.9%.

Qatar recorded a budget surplus of 100 million riyals ($27.43 million) in the third quarter of 2024, the finance ministry said on Wednesday.

Saudi Arabia's benchmark stock index (.TASI), opens new tab was down for a second straight session, falling 0.4%, while the index posted gains for two weeks in a row.

Al Rajhi Bank (1120.SE), opens new tab, the world's largest Islamic lender, slid 1.2%, and Saudi Aramco (2222.SE), opens new tab shed 0.4%. Saudi Arabia's crude oil supply to China is set to rebound to a three-month high in January, trade sources said, thanks to price cuts by the world's top exporter.

Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab was up 0.2% with most sectors in the green. GB Auto (GBCO.CA), opens new tab surged 4.4% and Commercial International Bank (COMI.CA), opens new tab gained 1.2%.

Egypt will seek to sell stakes in at least 10 companies in 2025, Prime Minister Mostafa Madbouly said on Wednesday, either through public listings or strategic partnerships.

Most Gulf markets ease ahead of US inflation data | Reuters

Most Gulf markets ease ahead of US inflation data | Reuters

Most stock markets in the Gulf ended lower on Wednesday, in line with Asian markets, as investors cautiously awaited U.S. inflation data that is expected to put the Federal Reserve on course to cut rates again.

Investors were cautious because there was an 85% probability of a U.S. rate cut next week already factored in, and with Wall Street indexes near record highs, there is a risk of disappointment.

The median forecast of economists polled by Reuters is for headline and core U.S. consumer prices increasing 0.3% month on month for November. No forecasts were above 0.3%, which analysts say leaves markets vulnerable to a surprise.

The Fed's decisions impact monetary policy in the Gulf, where most currencies, including the Saudi riyal, are pegged to the U.S. dollar.

Saudi Arabia's benchmark index (.TASI), opens new tab dropped 0.4%, hit by a 3.2% fall in ACWA Power Company (2082.SE), opens new tab and a 0.4% decrease in Al Rajhi Bank (1120.SE), opens new tab.

Dubai's main share index (.DFMGI), opens new tab reversed early losses to finish flat.

Talabat Holding (TALABAT.DU), opens new tab concluded flat a day after tumbling about 7% to 1.49 dirhams in debut trade.

Talabat Holding, one of the biggest food-ordering businesses in the Middle East, has raised about $2 billion from the largest initial public offering in the UAE this year.

In the previous session, the Dubai index slid more than 1% after the United Arab Emirates, starting January, will impose a minimum top-up tax (DMTT) of 15% on large multinational companies operating in the country, the finance ministry said, as the government seeks to boost non-oil revenue.

In Abu Dhabi, the index (.FTFADGI), opens new tab added 0.2%.

Oil prices - a catalyst for the Gulf's financial markets - climbed 1% as market participants anticipated a rise in demand from top importer China following Beijing's latest plans to boost economic growth.

Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab gained 0.4% in a choppy trade, with Commercial International Bank (COMI.CA), opens new tab rising 1.5%.

Egypt's annual urban consumer price inflation rate dropped more than expected to 25.5% in November, its lowest since December 2022, data from statistics agency CAPMAS showed on Tuesday.

#Qatar’s $500bn wealth fund targets bigger deals as LNG windfall looms

Qatar’s $500bn wealth fund targets bigger deals as LNG windfall looms

Qatar’s $500bn sovereign wealth fund is preparing to deploy its cash more aggressively ahead of a petrodollar windfall that could ultimately double its size. 

Mohammed Al-Sowaidi, the Qatar Investment Authority’s new chief executive, told the Financial Times the fund expected to “do bigger-ticket deals” and invest with “more frequency” as it embarked on a review of its investment strategy. 

“We have to be more aggressively deploying and finding ways where we could actually achieve more returns than the perceived risk,” Sowaidi said. “You review overall your allocation policies, you look into global trends and you make some calls on the future forecasts and you see how you optimise deployment.” 

The fund typically conducts a review of its investment strategy every five years, with the last one taking place in 2019. Sowaidi takes over with the QIA having doubled its workforce since 2018 ahead of an expected windfall as Qatar’s vast expansion of liquefied natural gas production begins to come online. 

As the fund prepares to step up its deal flow, the QIA is bullish on the US, where it has increased its exposure significantly over the past decade, as well as in the UK and Asia, Sowaidi said, with a focus on technology, artificial intelligence, healthcare, real estate and infrastructure. 

“You can see the US is spending time on . . . creating more efficient fiscal policies, regulation and regulatory environment. The market perceives that it will be accelerated under the Trump administration,” Sowaidi said. “The UK, from what we’ve heard and what you’ve seen, is thinking the same. 

“The second thing is the availability of talent . . . and the third is that they are free markets, so those are markets where you can invest, can get in and there is very good governance.” 

The QIA has built a portfolio of high-profile assets, including UK department store Harrods as well as significant stakes in Canary Wharf and Heathrow airport. It is also a shareholder in German carmaker Volkswagen and Spanish energy group Iberdrola. 

Qatar, one of the world’s top LNG exporters and wealthiest nations in per capita terms, has spent almost $30bn to increase production capacity at its vast North Field gasfield from 77mn to 126mn tonnes a year by 2027. 

State producer QatarEnergy announced further expansion plans in February, meaning overall production capacity is forecast to rise almost 85 per cent from current levels before the end of the decade. 

Its Golden Pass joint venture in the US with ExxonMobil, which is expected to add another 16mn to 18mn tonnes of LNG a year to the market, will come online late next year. 

The IMF estimated in a report two years ago that by 2027 the expansion was expected to raise the small Gulf state’s real GDP by 5.7 per cent and add about 3.5 per cent of GDP in export receipts a year. 

The QIA will be the main recipient of the LNG revenues, and Sowaidi said the inflows had the potential to double its size over five years. 

The fund has recruited heavily in preparation for the windfall, with staff numbers doubling to more than 700 since 2018. Kevin Zhu, who was hired in July as acting chief of investment strategy from Canadian pension fund manager OPTrust, will oversee the investment review. 

Sowaidi, who was the fund’s chief investment officer for the Americas before being appointed chief last month, said the QIA was also looking to build up its offices in the US and Singapore, and while it manages the majority of its funds internally, it was also “scaling up with third-party managers”. 

“The size of the QIA will grow in terms of people and there will be a deep revision in terms of whether we need to include new strategies as well as approaches to getting into the market. We are just starting to think of those questions,” he said. “It’s basically sharpening the edges of the organisation to be able to grow more and to achieve better returns.” 

He added that the QIA did not have plans to be a majority shareholder or operator of the companies in which it invests, but that it would achieve “bigger ticket deals and more frequency”. 

Asked if the QIA had held discussions with Elon Musk and Sam Altman at Open AI, both of whom have courted Gulf sovereign wealth funds to finance their AI projects, Sowaidi said: “We are quite active with everyone.” 

“We’ve been an ongoing investor with [Musk] on multiple kinds of ventures,” he added. The QIA was among investors who participated in the recent fundraising by Musk’s xAI, and invested in the venture’s first capital raising. It is also an investor in X, Musk’s social media platform, and Starlink, his satellite communications venture. 

Yet while positive on the US market, Sowaidi said he was “concerned” about trade wars and inflationary risks as president-elect Donald Trump prepared to re-enter the White House. 

“One thing [that] could be potentially a risk with the US administration’s direction is the potential pressure on inflation,” he said. “When you think of the deglobalisation globally, the supply chain reconfiguration . . . this is a global phenomenon. Inflation is the biggest enemy to economies so that’s something that we are watching very closely.” 

He added that trade wars were also “changing in nature”, saying they not only affected goods “but also services, and IT services, which is quite complicated to unfold”. 

The QIA had been expanding its investments in China, and continued to look to invest in the Asian powerhouse, Sowaidi said, while “also respecting the regulations”. 

He said the fund was “trying to be out of this sensitive technology space that could potentially have issues with global regulators”. 

“We reviewed areas where we think there could be potential complications with the US or with Europe, and we tried to reduce exposure,” Sowaidi added. “We have a sizeable exposure in Asia and we are ramping it up. We think east Asia presents a great opportunity, in Japan, for example, and South Korea.”

#AbuDhabi Funds: ADIA Seeks More Innovation in Private Credit (ETFs) - Bloomberg

Abu Dhabi Funds: ADIA Seeks More Innovation in Private Credit (ETFs) - Bloomberg

Abu Dhabi’s $1 trillion sovereign investor called for more innovative products including exchange-traded funds in the private credit market, where it’s been ramping up bets in recent years.

“There’s a lot of opportunities in that asset class,” Abu Dhabi Investment Authority Executive Director Dhaen Al Hameli said on a panel Tuesday. “We want to see more innovation — we’re seeing a lot of private credit funds partnering with asset managers to create some kind of products with liquidity.”

As an example, he pointed to exchange-traded funds. “ETFs give you a sense of exposure to underlying illiquid nature of private credit, and that’s definitely exciting,” Al Hameli said at the Abu Dhabi Finance Week.

His comments come days after the first two ETFs to hold private credit loans began trading. The new fund launches followed a surprise filing from Apollo Global Management Inc. and State Street Corp. in September for an ETF that will include private credit investments originated by the former.

ADIA, as the fund is known, is Abu Dhabi’s biggest state-backed investor and has helped drive the city’s push into the $1.6 trillion private credit market. As part of broad changes to its strategy, the fund is now putting money more rapidly into the sector, Bloomberg News has reported.

Earlier this year, ADIA boosted its exposure to real estate private credit fund Cheyne Capital and it has also committed $1 billion to a new vehicle set up by Barclays Plc and AGL Credit Management. Abu Dhabi’s Mubadala Investment Co. has also unveiled a string of deals in the sector.

#Saudi bourse gains ahead of US rate cut decision; #Dubai falls on tax concerns | Reuters

Saudi bourse gains ahead of US rate cut decision; Dubai falls on tax concerns | Reuters

Saudi Arabian stock market ended higher on Tuesday, as investors looked ahead to the U.S. Federal Reserve's upcoming interest rate decision, while the Dubai bourse retreated on tax concerns.

Fed officials appear on track to cut interest rates this month after data showed the U.S. labor market remained strong but continued to cool in November.

The U.S. Fed started its interest rate easing cycle with an unusually large 50-basis-point cut in September, followed by a 25 bps cut in November. Traders are pricing an 86% chance of another quarter-percentage-point cut from the central bank at its Dec. 17-18 meeting. FEDWATCH

The Fed's decisions impact monetary policy in the Gulf region where most currencies, including Saudi Arabia's, are pegged to the U.S. dollar.

Saudi Arabia's benchmark index (.TASI), opens new tab advanced 0.8%, led by a 0.4% rise in Al Rajhi Bank (1120.SE), opens new tab and a 1.2% increase in oil giant Saudi Aramco (2222.SE), opens new tab.

Dubai's main share index (.DFMGI), opens new tab retreated 1.1%, weighed down by a 2.7% fall in blue-chip developer Emaar Properties (EMAR.DU), opens new tab and a 1.6% decrease in toll operator Salik Co (SALIK.DU), opens new tab.

The United Arab Emirates starting in January will impose a minimum top-up tax (DMTT) of 15% on large multinational companies operating in the country, the finance ministry said on Monday, as the government seeks to boost non-oil revenue.

In the short term, a higher tax regime will inevitably impact profitability for businesses that were used to enjoying relatively lower taxes offered by the Gulf state, leading to a negative investor sentiment, said Bal Krishen, Chairman - Century Group.

Elsewhere, Talabat Holding (TALABAT.DU), opens new tab tumbled 6.9% to 1.49 dirhams in debut trade.

Talabat Holding, one of the biggest food-ordering businesses in the Middle East, has raised about $2 billion from the largest initial public offering in the UAE this year.

In Abu Dhabi, the index (.FTFADGI), opens new tab closed flat.

Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab dropped 1.3%, as most of its constituents were in the negative territory, including top lender Commercial International Bank (COMI.CA), opens new tab, which was down 1.5%.

Most Gulf markets gain as investors await US inflation data | Reuters

Most Gulf markets gain as investors await US inflation data | Reuters

Most stock markets in the Gulf closed higher on Monday as investors waited for a reading of U.S. inflation data later this week for insights into the Federal Reserve's monetary policy path.

Fed officials appear on track to cut interest rates this month after data showed the U.S. labor market remained strong but continued to cool in November.

U.S. employers added 227,000 jobs last month, a rebound from a hurricane-related slowdown in October, but the unemployment rate inched up to 4.2%, the Labor Department's monthly employment report showed on Friday.

According to the CME Group's FedWatch Tool, markets currently see a roughly 85% chance of a 25-basis-point rate cut this month.

The Fed's decisions impact monetary policy in the Gulf region where most currencies, including Saudi Arabia's, are pegged to the U.S. dollar.

Saudi Arabia's benchmark index (.TASI), opens new tab advanced 1.2%, led by a 4.1% jump in Al Rajhi Bank (1120.SE), opens new tab and a 1.3% increase in oil giant Saudi Aramco (2222.SE), opens new tab.

Oil prices - a catalyst for the Gulf's financial markets -climbed by more than 1% as top importer China flagged its first move toward a loosened monetary policy since 2010, aiming to bolster economic growth, state media reported citing a Politburo meeting.

In Qatar, the index (.QSI), opens new tab gained 0.6%, with the Gulf's biggest lender Qatar National Bank (QNBK.QA), opens new tab finishing 1.3% higher.

Dubai's main share index (.DFMGI), opens new tab eased 0.1%, hit by a 2% fall in blue-chip developer Emaar Properties (EMAR.DU), opens new tab.

The Abu Dhabi index (.FTFADGI), opens new tab was down 0.1%.

Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab lost 0.2%, weighed down by a 3.8% fall in E-Finance for Digital and Financial Investments (EFIH.CA), opens new tab.

#Saudi stocks gain on US rate cut bets; #Qatar falls | Reuters

Saudi stocks gain on US rate cut bets; Qatar falls | Reuters

Saudi Arabia's stock market ended higher on Sunday as investors raised their bets on the prospect of a U.S. interest rate cut this month after U.S. payrolls data showed strong job growth in November, although the Qatari index retreated.

Nonfarm payrolls increased by 227,000 jobs last month after increasing by an upwardly revised 36,000 in October, in a month hit by hurricanes and strikes. Economists polled by Reuters had forecast payrolls accelerating by 200,000 jobs.

Traders now see an 87% chance of a 25-basis-point cut at the Federal Reserve's December meeting, versus a 72% chance before the payrolls data. FEDWATCH

The Fed's decisions significantly impact the Gulf region's monetary policy, as most currencies in the region, including Saudi Arabia's, are pegged to the U.S. dollar.

Saudi Arabia's benchmark index (.TASI), opens new tab edged 0.2% higher, helped by a 2.3% rise in aluminium products manufacturer Al Taiseer Group (4143.SE), opens new tab.

The country's economy grew 2.8% in the third quarter from the same period a year earlier, supported by an increase in non-oil activity, government data showed on Sunday.

In Qatar, the index (.QSI), opens new tab eased 0.3%, hit by a 1.9% fall in the Gulf's biggest lender Qatar National Bank (QNBK.QA), opens new tab.

Meanwhile, Qatar - the world's largest liquefied natural gas (LNG) producer - has no concerns about U.S. President-elect Donald Trump's promise to lift a cap on LNG exports, Qatar's Energy Minister Saad al-Kaabi said on Saturday, adding his country would cope with any competition.

Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab gained 0.7%, led by a 4.9% jump in Telecom Egypt (ETEL.CA), opens new tab.

Inflation in Egypt is forecast to have eased to 26.4% in November as food prices cooled, according to a poll released on Sunday.