UAE Leads Middle East in Electronic Derivatives Trading Volume: Capital.com

The UAE is leading a remarkable growth in electronic trading of financial derivatives in the Middle East, commanding more than half of the electronic trading in the region. It ranks highest among regional countries in trading volumes, as noted by Tarek Shebib, CEO of Capital.com in the Middle East and North Africa.

Shebib attributes the UAE's status as a global fintech and electronic trading capital to several factors. These include a digitally adept, ambitious generation, advanced regulatory environments, high-speed connectivity, and widespread smartphone use enabling broader individual participation. The electronic trading value in the UAE exceeds $576.5 billion, as stated to "Al-Ittihad" during the "Abu Dhabi Finance Week 2025".

He further explained that a comprehensive analytical study by the global trading platform 'Capital.com', unveiled at the "Abu Dhabi Finance Week", shows that 45% of traders in the region start their digital trading journey with demo accounts, compared to 32% in Europe, highlighting a growing financial learning interest.

The analysis revealed that 86% of traders in the region are aged between 18-44, with millennials comprising 55% of active users. The region boasts a higher rate of university graduates at 64% versus Europe’s 39%, alongside higher income levels. Consequently, those earning over $200,000 annually are four times more than their European counterparts, with a tenfold rise in clients with over a million dollars in deposits within two years.

Shebib noted that UAE's Securities and Commodities Authority regulations allow the trading of Contracts for Difference (CFDs). These provide access to global financial assets without ownership, despite being high-risk tools. Therefore, there’s an emphasis on transparency, risk management tools, and education.

Since Capital.com secured a trading license from UAE's Securities and Commodities Authority in April 2024, the Middle East and North Africa have become the fastest-growing market for the company. The UAE now accounts for over half of its global trading volumes.

According to the thorough analysis, Capital.com recorded a trading volume of $1.5 trillion in the first half of 2025, a 42.5% increase from the second half of 2024. This growth was fueled by the region's trading reaching $804.1 billion, an increase of 53.3% compared to the previous period, with the UAE alone accounting for $576.5 billion.

Discussing the robust performance of electronic trading in the UAE, Shebib stated that the nation is taking several initiatives to build a competitive digital economy. It possesses advanced legislation, a high-standard global infrastructure, increasing financial awareness, and a willingness among individual traders to participate confidently and responsibly in global economic opportunities and new financial derivatives.

Shebib highlighted that traders in the Middle East and North Africa are notably active, favoring short-term trading strategies. They close 71% of their trades within the same day compared to 41% in Europe. The most traded assets include gold, oil, natural gas, key stock indices, and digital currencies.

Despite achieving a higher proportion of profitable trades (an average of 48.6% compared to Europe’s 43.8%), fewer traders in the region realize net profits than their European peers. This discrepancy is mainly due to the weak use of risk management tools.

Shebib concluded by affirming that unchecked audacity in electronic trading could become overconfidence. The most significant gap perceived is in risk management, which requires addressing through education and increased financial awareness. Thus, enhancing financial literacy in the Middle East and promoting AI-supported educational tools are vital. This ensures responsible, sustainable participation and transforms enthusiasm and ambition into long-term financial empowerment.