Foreign investment on the Abu Dhabi Securities Market (ADSM) will increase in the coming period, according to its deputy director-general Rashed A Al Baloushi.

Currently, there is a 60-40 split in the market’s 860,000 participants between nationals and foreign investors, respectively. However, there has been a sea change in the nationalities represented on ADSM, Al Balousi was quoted as saying in an Emirates Business report.

In 2006 Saudis formed the biggest percentage of foreign investors with 36 per cent. Indians and Egyptians came a joint second with 14 per cent, then Jordanians (8.8 per cent) and Kuwaitis (6.2 per cent).

However, in 2007 British investors became the largest foreign group with 77.2 per cent. Germans came second with 16 per cent, followed by investors from Luxembourg with three per cent, Kuwaitis two per cent and Bahrainis 1.5 per cent.

Al Baloushi attributed the increase in the percentage of European investors to tours conducted in many European countries and Southeast Asia by ADSM executives. Officials, he said, have plans to organise trips to countries such as Japan soon.

The increase in Saudi investors in ADSM in 2006 occurred when they heavily bought shares in Dana Gas.  

The value of foreigners’ share purchases in 2007 was Dh40 billion, while they sold shares worth Dh30bn. So, net foreign investment was Dh10bn, the report said.