The Dubai Stock Market Has Double & Tripled Since March 2000
Hi, Sunil here to talk about the Dubai stock market
Since March 2000, the stock market in Dubai has doubled and tripled the investments of the common investor, unfortunately not including me :-(
Many investors that are not necessarily financial wizards have made a ton of money playing around in the market.
The reality is that not many of us know the operations of the share market as much as to proper in it on a consistent basis, let alone how to calculate the risk factor for each script that is listed in the exchange, alpha, beta, etcetera, etcetera.
The Dubai share market operates like every other market, listing many of the local Dubai based companies as well as some of the UAE companies.
I guess each company needs to be well established before it can be listed at the Dubai stock market.
The stock market offers us, the common man, a quick way to make money provided we know what we are doing (but during the boom, anyone could have made a killing).
For example, on the outset, most of us would say that investing in oil would be a great way to start making money in this market. But the slight variations in the global prices tend to affect the quoted price, so for the short run this may not be the best option to invest in.
What you need to look out for are some investments that are bound to post rapid growths in the short run without any downside variations that can affect the listed price.
One of the many options that I can think of at the moment is the real estate sector of Dubai. The real estate is booming like never before and this is one of the best options that you can choose for making a quick buck over a short period. The share prices of companies like Emaar properties has more than doubled within the space of a single year and thats saying something.
If you are okay with locking up your investment for a longer period, then there is a whole range of shares that you can invest in. Some of the scripts listed here are for companies that are currently undertaking major projects in Dubai and elsewhere. Naturally, when the said projects are completed, the quotes are bound to rise, allowing many an investor to cash in.
Currently there are three stock exchanges in UAE, the Dubai financial market, the Abu Dhabi market and the Dubai international financial exchange. The market in Dubai is fairly solid in comparison to some of the western markets especially in view of the stability that seems to be a sort of a cornerstone here.
But this does not mean that the Dubai stock market is risk free. Dont forget that the economy of UAE is based on Oil and any sudden fall in crude prices can act as a trigger for the bear to take over.
That said, the Dubai market is one of the best today (2008) to turn your investments to high gear. The Dubai share market comes fully automated, thus offering the various clients a trading system that is screen based. Efficiency and speed are the hallmarks of this market.
(2012 Update: Although no longer the best, the Dubai stock market is still a viable market that many are profiting in)
Although as a common man we cannot make heads or tails of any share market analysis, it sure is assuring to know that the means to do it is available to us. This is the place to go if you are in the market for some fast money!