- UAE retail investors are increasingly focused on homegrown markets, with 85% currently invested in UAE-listed stocks
- Confidence runs high in the UAE’s economy, with over 90% confident in the UAE economy and performance of UAE-listed companies respectively
- Still, 90% expect trade tensions to significantly impact their portfolios in the next six months, leading to more investments in local equities and commodities
Dubai, United Arab Emirates – August 19, 2025: A whopping 85% of UAE-based retail investors are currently invested in local stocks, and many are buying even more in response to global trade tensions, based on the latest edition of the UAE Retail Investor Beat by trading and investing platform eToro.
Strong belief in the UAE economy and markets
The study, which surveyed 1,000 retail investors across the United Arab Emirates, revealed that UAE-based investors are strong supporters of their local market. 85% are currently invested in locally listed equities, with 39% of respondents holding Abu Dhabi stocks, 28% holding Dubai stocks, and 18% holding both.
These investments reflect their confidence in the UAE economy. 63% of investors stated they are “very confident” in its current performance, and a further 29% indicated they are “somewhat confident”. When it comes to the long-term performance of locally listed stocks, 59% expressed that they are “very confident”, with a further 32% who are “somewhat confident”.
Looking ahead, 48% of investors forecast significant gains in the UAE stock market over the next 12 months, while 34% expect steady growth. This conviction is also evident in investors’ long-term expectations. 58% believe that the Middle East will deliver the most substantial returns over the next five years, followed closely by the U.S. (50%).
When asked which UAE sectors evoke the most optimism for investments over the next 12 months, real estate topped the list at 55%, followed by technology (48%), financial services (37%), and energy (37%).
Commenting on the findings, George Naddaf, Managing Director at eToro MENA, shared: “The DFM and ADX are among the best-performing stock exchanges in the world this year, outperforming the S&P 500 by a considerable margin. Against this backdrop, our research confirms that investor confidence in the UAE market remains strong, supported by resilient performance across local indices, solid macroeconomic indicators, and sustained earnings across key sectors. Investors are favouring real estate, technology, financial services, and energy, as these sectors continue to benefit from government-backed initiatives. The fact that 85% are already invested in UAE equities reflects a clear preference for local opportunities in the current environment.”
Global tensions drive home bias and commodity interest
Despite strong confidence in their local market, geopolitical risk is firmly on the minds of investors: 90% say tariffs and trade wars will significantly impact their portfolios in the next six months, and 89% have already adjusted or plan to adjust their investments in response.
While the most common way investors are adjusting their portfolios in response to trade tensions is by increasing exposure to UAE equities (53%), a close second is increasing allocations to commodities (51%). This corresponds with respondents choosing gold or precious metals as the most resilient type of asset in a volatile trade environment (49%). Crypto (45%) was the second-most popular option, and it is already the most held asset class among UAE investors currently with 54% invested.
George Naddaf added: “With 90% of investors anticipating an impact from tariffs and trade wars, and 89% adjusting their portfolios accordingly, UAE investors show an impressive level of adaptability. Besides local stocks, many are reallocating towards commodities such as gold and oil, which are viewed as reliable hedges against external volatility. This suggests a disciplined, dual-track approach: reinforcing exposure to domestic markets that are shielded from the impact of tariffs, while managing risk through defensive asset classes.”
Uncertainty is not deterring investors from continuing to seek opportunities in the market. 65% of UAE retail investors have already increased contributions to their investment portfolios over the previous months, and 76% expect to increase contributions over the next three months.
-ENDS-
Notes to Editor:
The survey, commissioned by the trading and investing platform eToro, sampled 1,000 retail investors residing in the UAE. The survey was conducted from July 10, 2025 – July 21, 2025 and carried out by research company Appinio. Retail investors were defined as self-directed or advised and had to hold at least one investment product including shares, bonds, funds, investment or equivalent. They did not need to be eToro users.
Media Contacts:
About eToro:
eToro is a trading and investing platform that empowers you to invest, share and learn. We were founded in 2007 with the vision of a world where everyone can trade and invest in a simple and transparent way. Today we have 40 million registered users from 75 countries. We believe there is power in shared knowledge and that we can become more successful by investing together. So we’ve created a collaborative investment community designed to provide you with the tools you need to grow your knowledge and wealth. On eToro, you can hold a range of traditional and innovative assets and choose how you invest: trade directly, invest in a portfolio, or copy other investors. You can visit our media centre here for our latest news.
Disclaimers:
eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk.
eToro is a group of companies that are authorised and regulated in their respective jurisdictions. The regulatory authorities overseeing eToro include:
- The Financial Conduct Authority (FCA) in the UK
- The Cyprus Securities and Exchange Commission (CySEC) in Cyprus
- The Australian Securities and Investments Commission (ASIC) in Australia
- The Financial Services Authority (FSA) in the Seychelles
- The Financial Services Regulatory Authority (FSRA) of the Abu Dhabi Global Market (ADGM) in the UAE
- The Monetary Authority of Singapore (MAS) in Singapore
This communication is for information and education purposes only and should not be taken as investment advice, a personal recommendation, or an offer of, or solicitation to buy or sell, any financial instruments. This material has been prepared without taking into account any particular recipient’s investment objectives or financial situation, and has not been prepared in accordance with the legal and regulatory requirements to promote independent research. Any references to past or future performance of a financial instrument, index or a packaged investment product are not, and should not be taken as, a reliable indicator of future results. eToro makes no representation and assumes no liability as to the accuracy or completeness of the content of this publication.
Regulation and License numbers
Middle East
eToro (ME) Limited, is licensed and regulated by the Abu Dhabi Global Market (“ADGM”)’s Financial Services Regulatory Authority (“FSRA“) as an Authorised Person to conduct the Regulated Activities of (a) Dealing in Investments as Principal (Matched), (b) Arranging Deals in Investments, (c) Providing Custody, (d) Arranging Custody and (e) Managing Assets (under Financial Services Permission Number 220073) under the Financial Services and Market Regulations 2015 (“FSMR”). Its registered office and its principal place of business is at Office 207 and 208, 15th Floor Floor, Al Sarab Tower, ADGM Square, Al Maryah Island, Abu Dhabi, United Arab Emirates (“UAE”).