UAE retail investors bullish on 2025: Home market confidence, AI boom, and crypto surge 

UAE retail investors are optimistic about their home market, with four in five (80%) expecting growth from the UAE stock market in 2025, according to a new survey by trading and investing platform eToro.

This sentiment underscores trust in the UAE’s economy, with real estate and construction (53%) seen as the most promising local investment sectors by UAE retail investors, closely followed by technology and telecoms (43%) and banking and financial services (42%).

The survey also highlights that local investors have significant exposure to UAE stock exchanges, with 46% stating they hold stocks listed on the Dubai Financial Market (DFM), 29% on the Abu Dhabi Securities Exchange (ADX), and 13% are invested in both.

George Naddaf, Managing Director MENA at eToro, said: “As the UAE continues to advance its financial infrastructure and attract more foreign investments, the country’s economic outlook remains highly promising. With the government’s commitment to economic diversification and ongoing capital market development, UAE-based investors are well positioned to capitalise on their increasingly sophisticated local investment landscape.”

When looking beyond the domestic stock market and considering global investment opportunities in the first quarter of the year, UAE retail investors are focusing on financial services (79%), technology (72%), and communications (70%) as key growth areas.

AI is seen as a key catalyst for growth, with 81% of UAE retail investors expecting to see the stock price of AI-driven listed companies increase in 2025, reinforcing a strong belief in innovation-led opportunities worldwide. Similarly among asset classes, cryptoassets stand out as a major focus, with four in five (81%) planning to invest in cryptoassets in the first quarter, followed by commodities (78%), alternative investments like real estate and private equity (77%) and domestic equities (75%).

“AI and cryptoassets dominated 2024 and continued to drive market momentum in the first month of 2025. UAE retail investors’ sustained enthusiasm for crypto, even before its record-breaking performance surpassing $109,000, underlines their ability to identify emerging trends and capitalise on them,” explained George Naddaf. “However, portfolio diversification remains key to navigating market cycles and mitigating risk. By complementing local exposure with global assets investors can build resilience against volatility while capturing growth from broader economic trends.”