DUBAI, The Dubai Financial Market (DFM) General Index increased 12.1 percent to 3,531 points at the end of 2016 compared to 3,151 points at the end of 2015. At the sectorial level, indexes of eight out of the nine sectors featured on the DFM ended the year in the green, with the Services sector rising the most, by 36 percent, followed by the Consumer Staples and Discretionary sector, rising by 22.1 percent, and Telecommunications sector by 21.6 percent. In contrast, the Industrial sector dipped 16.7 percent.

At the end of 2016, market capitalisation rose by 12.3 percent, amounting to AED337.6 billion, compared to AED300.7 billion at the end of 2015. The value of shares traded during 2016 reached AED133 billion compared to AED145.7 billion recorded in 2015, down by 8.7 percent. The number of shares traded increased by 14.2 percent to reach 105.8 billion shares during 2016 compared to 92.7 billion shares traded during 2015. The number of transactions executed during 2016 was down 14.4 percent to reach 1.3 million compared to 1.5 million deals carried out during in 2015.

As for the sectors' contribution to trading volumes, the Real Estate and Construction sector topped the list in terms of traded value to reach AED57.2 billion or 43 percent of the total traded value in the market. The Banking sector came next at AED35.3 billion or 26.5 percent, followed by the Financial and Investment Services sector with AED13.3 billion or 10 percent, the Consumer and Discretionary Staples sector with AED 8.7 billion or 6.5 percent, the Transportation sector with AED6.4 billion or 4.8 percent, the Services sector with AED5.8 billion or 4.3 percent, the Telecommunications sector with AED3.9 billion or 2.9 percent, the Insurance sector with AED2.6 billion or 1.9 percent and finally, the Industrial sector with AED 9.2 million.

The value of stocks bought by foreign investors during 2016 reached AED60.8 billion or 45.5 percent of the total traded value. The value of stocks sold by foreign investors during the same period reached AED60.4 billion or 45.2 percent of the total value traded. Accordingly, the DFM's net foreign investment inflow reached AED360.5 million.

The value of stocks bought by institutional investors during 2016 reached AED40.1 billion or 30 percent of the total traded value. The value of stocks sold by institutional investors during the same period reached AED37.9 billion or 28.4 percent of the total value traded. Net institutional investment inflow amounted to AED2.2 billion.

Source: Emirates News Agency