The UAE continues to diversify beyond oil

Article Excerpt

The United Arab Emirates is a small country in a potentially volatile region, with neighbours like Yemen and Iran nearby. Still, it has used its oil riches wisely to diversify the economy and become a major commercial hub in the Middle East. Here’s an ETF that provides exposure to the top companies listed in the UAE. ISHARES MSCI UAE ETF $14.66 (New York symbol UAE; TSINetwork ETF Rating: Aggressive; Market cap: $35.0 million) tracks the performance of the largest publicly listed UAE companies. Financial Services account for 39% of its assets, while Telecommunications (18%), Real Estate (21%), Industrials (10%), and Energy (5%) are other key segments. The ETF has a portfolio of 40 stocks; the top 10 holdings make up a high 74% of its assets. They are Emirates Telecommunications (Telecommunications, 17.1%), First Abu Dhabi Bank (Financials, 15.1%), Emaar Properties (Real Estate, 12.0%), Emirates NBD (Financials, 4.8%), Aldar Properties (Real Estate, 4.5%), Abu Dhabi Commercial Bank (Financials, 4.6%), Abu Dhabi Islamic Bank (Financials, 4.4%), Dubai Islamic…