DIFX, FTSE launch new GCC indices

Dubai: FTSE Group and Dubai International Financial Exchange (DIFX) have created the first GCC country tradable indices for domestic, GCC and international investors. The GCC countries initially included in the series are the UAE, Kuwait and Qatar.

These indices are intended to facilitate the creation of investment products and also pave the way for the introduction of exchange traded index derivatives including futures and options, providing a new paradigm in the growth of capital markets in the region.

Sharia-compliant editions of these indices will also be available later in the year. Sharia screening is undertaken by Yasaar Research.

Donald Keith, Deputy Chief Executive of FTSE Group, said: "FTSE is honoured to bring its international indexing expertise to this exciting new market. By creating this first phase of tradable indices we hope to improve transparency and liquidity in these markets and facilitate the creation of products that will allow both domestic and international investors to invest in these exciting markets."

In detail: Countries included are UAE, Kuwait and Qatar

• FTSE DIFX UAE 15 Index (UAE residents), based on the top 15 eligible UAE companies ranked by market capitalisation.
• FTSE DIFX Kuwait 15 Index (GCC residents and international investors), based on the top 15 eligible companies ranked by market capitalisation.
• FTSE DIFX Qatar 10 Index (GCC residents and international investors), based on the top 10 eligible companies ranked by market capitalisation.