The International Monetary Fund (IMF) says that the UAE’s economy is set to grow at a faster rate than most other Gulf countries this year.
Economy Overview
The UAE’s economy is a highly diversified one. In the past, the oil and gas sector was the main driver of the UAE’s economy. However, in recent years, the economy has diversified and the share of oil and gas in GDP has decreased. In 2015, oil and gas accounted for 25.7% of GDP.
The UAE is ranked fourth in the world in terms of the number of internet users, with 80% of the population using the internet.
GDP
Gross Domestic Product (GDP) measures the value of all final goods and services produced within a nation in a given period of time.
Regulated brokers are generally found on the websites of the exchanges. These brokers must be approved by the Securities and Commodities Authority (SCA) and are licensed by the Financial Services Authority (FSA). They are regulated by the FSA and SCA.
Trading in UAE
Brokers are regulated by the Securities and Commodities Authority (SCA) of the UAE.
A new regulatory regime for online trading in Dubai came into effect on 5 November 2011. This replaced the existing regime that was in place since 2006. This new regime is in addition to the existing stock exchange, which is operated by the Dubai Financial Market (DFM) and the ADX, which is operated by the Abu Dhabi Securities Exchange (ADX).
According to the new regulations, trading in securities, contracts for difference (CFDs) and derivatives will be conducted on the DFM and ADX, with the former being the trading platform.
All trading in stocks, bonds, and commodities will be conducted on the DFM and ADX. Trading on the DFM and ADX will be subject to regulation by the SCA and the FSA, respectively.
The DFM is an electronic exchange, which means trading is done electronically. This allows for trades to be executed much faster than on the open-outcry exchanges. In addition, the DFM has 24 hours a day trading and an extensive network of market makers. This means that there are always buyers and sellers in the market.
The ADX is an open-outcry exchange. Traders are required to go to the exchange to place their orders. The ADX is an electronic market, so trades are executed faster than on the open-outcry exchanges.
Investment
Dubai is the location of the Dubai International Financial Centre (DIFC). The DIFC is a financial free zone, which means it is not subject to the rules and regulations of any one country.
Best Trading Platform in UAE
We are focusing on 7 factors when choosing a trading platform and these are:
Traders score: is an indicator of the trader’s ability to trade on the platform. We scored traders based on their trading history, real-time performance, and their popularity.
Platforms
Commodities traded indicates the trading options offered by the platform.
Funding methods refers to the methods of depositing money into the account. We scored these options based on their popularity, ease of use, and deposit methods.
Islamic account enabled refers to the ability of the platform to offer the trading options in an Islamic format.
Minimum deposit refers to the minimum amount of money required to open an account.
Welcome bonus is the bonus offered by the platform to new users.
Some of the best trading platforms are:
IQ Option
IQ Option was launched in 2013 and is regulated by the Financial Services Authority of Malta. IQ Option offers a wide variety of investment instruments, including stocks, commodities, bonds, ETFs, and CFDs. The website is easy to navigate and it is available in many languages.
AVAtrade
AVAtrade is a regulated and licensed financial services company, which was established in 2006. AVAtrade offers a wide range of trading instruments including CFDs, stocks, bonds, futures, commodities, and forex. The website is easy to navigate and it is available in many languages.
eToro
eToro is a regulated financial services company, which was launched in 2008. eToro offers CFDs, stocks, commodities, forex, and other financial instruments. The website is easy to navigate and it is available in many languages.
Pepperstone
Pepperstone is a regulated financial services company, which was established in 2011. Pepperstone offers CFDs, stocks, forex, commodities, and other financial instruments. The website is easy to navigate and it is available in many languages.
Top 5 international online brokers in the UAE in 2022
- Interactive Brokers
- Saxo Bank
- XTB
- eToro
- Capital.com
Day Trading In UAE
Where to Start
If you’re a first time day trader, it is always recommended to start with the safest way to invest in the market. For example, you can start with a brokerage account. This will allow you to make long-term investments and save on taxes. You can also start with a forex trading account, as it will allow you to speculate on currency pairs.
The most popular platform for day trading in the UAE is Al Barari Exchange. The platform is regulated by the Securities and Commodities Authority of the UAE (SCA) and is open to both individual and corporate investors. However, it is important to note that there are other brokers that are not regulated by the SCA. These include the Al Zain Exchange, the Dubai Financial Market, and the Abu Dhabi Securities Exchange.
You can choose to trade on a forex or stock exchange. If you are a beginner, it is recommended to start with forex trading. However, if you have some experience, you can consider the Dubai Financial Market.
As mentioned, there are other brokers that are not regulated by the SCA.
What is day trading?
Day trading in UAE is the practice of trading stocks and currencies on a daily basis. It is a method that is popular among traders and speculators as it is considered a quick and easy way to make a quick buck. It is often used to trade on international markets such as the London Stock Exchange or the New York Stock Exchange.
In a day trading scheme, you buy and sell a stock or currency in a 24-hour period. The reason you are able to do this is because the trade will not be held open for longer than 24 hours. If the trade is held open for longer than 24 hours, it is considered a day trade and not a day trading scheme.