Dubai Financial Market (DFM) has announced that its profits in 2021 fell to AED 103.8 million ($28 million) from AED 137 million in 2020

In a press release published alongside its Q4 2021 results, the company said its profits had jumped for the fourth quarter of 2021 to AED 65.7 million, up 269 percent on the same quarter in 2020.

The statement said the board had recommended distribution of a three percent cash dividend of AED 240 million to shareholders.

It also highlighted the increased trading value, up 10.2 percent to AED 72.3 billion for the year, while the General Index registered 28.2 percent growth, the highest since 2013. 

The market’s revenue for 2021 was also down, to AED 294.6 million from AED 337.2 million in 2020.

Chairman Helal Al Marri, said: “The DFM General Index witnessed an increase of 28.2 percent, the highest since 2013. Meanwhile, trading value increased 10.2 percent to AED 72.3 billion compared to its level during the corresponding period of 2020.”

“The Market Capitalisation of listed securities has increased 20.5 percent to AED 411 billion. The DFM ended the year with a strong note as trading value jumped 126% during the fourth quarter to AED 33.6, equivalent to 46.5% of the full year trading value,” he said.

“These indicators are attributed to the continuous improvement of the national economy, the encouraging figures from key economic sectors such as tourism and real estate as well as the performance of listed companies, and all of this was culminated by the positive effects of the strategic plan to develop Dubai’s financial markets,” Al Marri added.

Foreign investors accounted for 45.8 percent of market share of DFM’s trading value and were net buyers of AED 1.9 billion. Their ownership of the market capitalisation reached to 22.5 percent at the end of the year.

Institutional investors accounted for 45.8 percent of trading activity with a net purchase of AED 656 million.

The DFM has attracted 7342 new investors during the year, the statement said, including 677 institutions, bringing the total number of its investor base at the end of 2021 to 852,212 investors from 209 nationalities. Foreign investors accounted for 63 percent of the new investors.

(Writing by Imogen Lillywhite; editing by Seban Scaria)

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