REITs trading kick-starts at Dubai Financial Market

Dubai, UAE – The Dubai Financial Market (DFM) on Monday hosted a bell ringing ceremony to celebrate the commencement of trading of Real Estate Investment Trusts (REITs) with the listing of Al Mal Capital’s REIT fund.

The introduction of REITs is a key milestone in DFM’s journey to diversify product offering and asset classes, broadening the scope of opportunities offered to its vast investor base of local and international investors.

Khalid bin Kalban, vice chairman and CEO of Dubai Investments and chairman of Al Mal Capital, rang the market opening bell in the presence of Essa Kazim, chairman of DFM and Hassan al Serkal, CEO of DFM.

The listing culminates the successful floating of the new fund by Al Mal Capital, a subsidiary of Dubai Investments, in November 2020. The AED350mn proceeds of this fund will be invested by the company in a Sharia’a-compliant diversified portfolio of income generating properties that serve different sectors such as healthcare, education and industrial assets, with a target annual return of 7 per cent.

DFM chairman Kazim said, “The commencement of REITs trading through the listing of Al Mal Capital REIT reinforces DFM’s product offering diversification strategy, providing investors with new opportunities. Today’s listing is a key foundation for this new asset class and we are looking forward to see it gaining momentum during the coming period in line with REIT’s strong presence globally and to truly reflect the magnitude, quality and expansion of the real estate sector in Dubai by encouraging the establishment and listing of more REITs in the future.”