Page 22 - UP GENERAL REPORT - JULY 2025

The financial services sector has also played a key role in driving market performance. Abu Dhabi
Islamic Bank (ADIB), the UAE’s second-largest Islamic bank, has posted gains of over 98 per cent
including dividends in the last 12 months. Strong digital transformation, rising profit margins, and
growing demand for Shariah-compliant financial services have underpinned this growth. Similarly,
Amlak Finance, a key Islamic home financing provider, has seen its stock more than double in value
over the past year, boosted by Dubai’s thriving property market.

In the real estate sector, Union Properties has emerged as one of the top performers of 2025, with
shares rising over 100 per cent year-to-date. Its successful restructuring and the broader real estate
upcycle have positioned it just behind Amlak Finance as one of the best-performing stocks on the
DFM Index this year.

These exceptional performances reflect renewed investor confidence in UAE equities. Strong
macroeconomic fundamentals — including a projected real GDP growth of 4.4 per cent in 2025 and
5.4 per cent in 2026 — are helping to sustain momentum. High-profile IPOs like Parkin have further
energized market participation, creating fresh investment opportunities and affirming global
interest in the UAE’s capital markets.

Today, both the Dubai Financial Market (DFM) and Abu Dhabi Securities Exchange (ADX) host a
robust lineup of Shariah-screened stocks, with a large portion of all listed companies adhering to
Islamic investment principles. The UAE’s status as a global Islamic finance hub continues to attract
capital from both Shariah-compliant and conventional investors looking to tap into the region’s
dynamic growth story.

A compelling combination of market-beating returns, solid fundamentals, and ethical investment
appeal is making UAE equities — particularly Shariah-compliant stocks — an increasingly attractive
destination for regional and international capital. As the country continues to diversify its economy
and bring more companies to market, investor interest in these instruments is likely to deepen
further, analysts say.

https://www.msn.com/en-ae/money/news/shariah-compliant-stocks-turn-uae-markets-into-year-
s-hottest-trade/ar-AA1J8xq3?ocid=BingNewsSerp