Equity

What Moved GCC Equity Markets?

S&P GCC composite index rose by 1.5%, with Qatar and Saudi Arabia leading the gainers. Qatar’s main index rose 3.5% for the month, while Abu Dhabi ended the month mildly positive. Dubai markets gave up some of the sharp gains witnessed in the month of August, closing 2.0% down for the current month. Abu Dhabi continues to be the top performer for the year, supported by the rise in oil prices, strong earnings and favourable valuations. Despite the run-up in...

ETF’s in GCC: How far have they come?

Exchange Traded Funds (ETF) was first introduced in the year 1993 and since then, it has made a long journey and won the interest and participation of many retail and institutional investors. Currently, there are more than 7,000 ETFs traded globally. The global ETF assets were worth about USD 7 trillion as of august 2020 (https://etfgi.com/news/press-releases/2020/09/etfgi-reports-assets-invested-etfs-and-etps-listed-globally-broke). Today ETFs are available in many countries, based on pure equity or a mix of equity and debt or fixed income instruments or alternative...

Estimating future returns for Saudi Arabia Stock Market

Need an equity market framework It is a classic mistake that all of us can be guilty of at some point in time. Mistaking historical stock market returns as a good proxy for future returns. While optimism breeds optimism, pessimism breeds pessimism. If we have a great decade (like how S&P 500 is), it will be nearly impossible to be utterly pessimistic and vice versa. Time and again it has been proved that history never repeats but rhymes. However, intuitively...

أسواق الأسهم الخليجية – أداء فاتر في فبراير

According to our recently released Monthly Market Review for the month of February, GCC equity market pulled back where S&P GCC index retreated back by 1%, after a fabulous January when it zoomed by nearly 7%. At country level, some continued their upward trajectory (UAE, Bahrain and Kuwait) while others (KSA, Qatar and Oman) pulled back from their earlier rally. Globally, equities continued the bullish rally in February as indicated by MSCI World index that increased by 2.8%, extending YTD...

بداية قوية للأسهم في 2019

According to our recently released Monthly Market Review for the month of January, GCC equity markets greeted its investors in celebratory fashion, recording its highest monthly gains in over two years. Investor sentiment was bullish, as the influx of foreign funds, uptick in oil prices and expansionary budget policies are all expected to support corporate earnings growth in 2019. The story was no different in the global markets, as equities continued to be the flavour of the month among investors....

وضعٌ حرج للنفط – أداء إيجابي لسوق الكويت للأوراق المالية في نوفمبر

According to our recently released Monthly Market Review for the month of November, GCC equity markets took a downturn due to the negative performance of the UAE and Saudi Arabian markets. Global equities saw a positive momentum buoyed by a strong recovery in the emerging markets. Kuwait was the best performing GCC market during the month, gaining 1.3% for the month of November. Kuwait finally broke out of its three-month losing streak and became the best performing market in the...

أكتوبر القاسي – مسح ثروات بقيمة 5 تريليون دولار من أسواق الأسهم والسندات العالمية

According to our recently released Monthly Market Review for the month of October, GCC equity markets remained flat thanks to Qatar’s positive performance, while global equity and bond markets shed nearly USD 5 trillion in wealth during the period. Qatar was the best performing GCC market during the month, gaining 5.0% despite the ongoing selloff in emerging market equities. Qatar’s main equity index was also the only main GCC equity index to witness positive returns for October. Kuwait extended its...

ثبات الأسهم الخليجية خلال سبتمبر برغم طفرة أسعار النفط

According to our recently released Monthly Market Review for the month of September, GCC equity markets remained flat despite the surge in crude oil prices witnessed during the month. Kuwait stock market, however, hogged the limelight as the first part of its integration into the FTSE EM index was effected on September 24th. Consequently, a spike in liquidity was witnessed on September 20th, as the rebalancing was done using the closing prices of 20th September. Kuwait stock market was flat...

نمو التمويل البديل في دول مجلس التعاون الخليجي

However, the current low oil price environment has transformed the financing landscape in the region as traditional methods of financing such as bank loans are being fast replaced with alternatives such as bonds, private equity, crowdsourcing and IOU’s. The report added that budgetary deficits have forced the government to fix their deficits through debt issuance in both the domestic and international markets. The sudden spurt in debt issuance by the government and its related entities might be overwhelming for the...