Abu dhabi: The Abu Dhabi Securities Exchange (ADX) Group, one of the top 20 exchanges globally by market size, has expanded its range of investment instruments with the introduction of the FTSE ADX Dividend Stars Index, a pioneering initiative in the region. This newly launched index provides investors with access to income-generating equities within Abu Dhabi's resilient capital market.
According to Emirates News Agency, the index comprises 17 companies that exemplify Abu Dhabi's economic diversity, featuring firms with strong and consistent dividend performances, diverse operations, and international market footprints. These companies contributed to over 70% of the total dividend payouts by listed companies on the ADX in 2025, demonstrating robust financial health with a 20% increase in net profit during the first three quarters of 2025 compared to the same period in 2024.
Spanning various sectors such as communication services, industrials, energy, financials, consumer discretionary, consumer staples, and basic materials, the index is the 17th in the FTSE ADX series and the fifth headline index under the partnership with FTSE Russell. The introduction of this index underscores ADX's commitment to enriching the market and enhancing investor options.
The FTSE ADX Dividend Stars Index aligns with ADX's dedication to innovation and market growth, complementing other thematic benchmark indices like the FTSE ADX ESG Screened and FTSE ADX 15 Islamic. These offerings provide investors with diversified and performance-oriented investment opportunities.
Abdulla Salem Alnuaimi, CEO of the ADX Group, remarked that the new index offers investors a pathway to stable and growing income, supported by Abu Dhabi's strong capital market. He emphasized the transparency and data-driven approach of the index, which boosts liquidity, issuer visibility, and investor confidence, thereby playing a crucial role in Abu Dhabi's economic development.
Gerald Toledano, Global Head of Equities and Multi Assets at FTSE Russell, highlighted the ongoing collaboration with ADX, which enhances investor access to transparent, rules-based benchmarks reflecting the region's growth. The FTSE ADX Dividend Stars Index provides a framework for tracking high dividend performance, benefiting income-focused investors and Abu Dhabi's dynamic capital market.
Over the last five years, ADX investors have seen substantial returns, with listed companies distributing over 320 billion dirhams in cash dividends since 2020, achieving a compound annual growth rate of nearly 33%. During this period, ADX has more than doubled its market capitalization, outperforming the FTSE Emerging Markets Index, showcasing the exchange's consistent growth and robust fundamentals.
The index utilizes the FTSE Target Diversification method, which offers an innovative and adaptable approach to managing index diversification and concentration. This adaptability ensures the index maintains quality and balance, reduces volatility, and provides steady income from high dividend-paying stocks.