XTB Introduces Passive Investment Plans for UAE Market

January 08, 2024 - Global fintech and online investment platform XTB has launched a new offering targeted at the UAE's passive investment sector. The company's latest product allows investors in the UAE to access a variety of Exchange-Traded Funds (ETFs) through XTB's mobile application, facilitating the construction of diversified portfolios with ease.

ETFs, which represent a collection of assets such as stocks or bonds that are traded on stock exchanges, provide a mechanism for investors to track various indices or gain exposure to specific sectors, commodities, or types of companies. Given the global surge in interest toward ETFs, XTB is introducing its ETF-based product in the MENA region to meet the growing demand.

Achraf Drid, CEO - Middle East & North Africa at XTB, stated, “We see a great potential in ETFs and passive investing as this is a powerful investment option to build a diversified portfolio without the need to hand-pick the instruments one-by-one. As the Investment Plans make passive investing even simpler and more intuitive, it can be an additional booster for this asset class in the local market .”

XTB's Investment Plans enable clients in the UAE to start with an investment as low as USD 15 and create up to 10 different portfolios, each containing as many as 9 ETFs. Over 300 ETFs are available for selection, with the mobile app providing tailored suggestions based on individual preferences, such as ETF type, composition, geographical scope, Morningstar rating, or five-year performance history.

Investors have the flexibility to specify their investment amounts and the distribution of funds across their portfolios is automated, aligned with their risk profiles and investment horizons. The ability to open or close Plans at any time allows for the reallocation of funds according to changing priorities.

With the introduction of recurring payments, XTB clients can now add to their investments on a regular basis. Each contribution is automatically allocated according to the investor's predetermined preferences.

Drid further added, “Investment Plans are suited to cater to the needs of investors looking for ways to invest their funds but they don’t want to spend too much time on it. As we have just added recurring payments as an important enhancement to the Investment Plans, long-term investments are now even more hassle-free.”

Aligning with XTB's wider offering, ETF investments carry a 0% commission*, and there are no fees for setting up or maintaining Investment Plans, allowing investments to grow without incurring additional costs. 

* For monthly turnover up to 100,000 EUR (then comm. 0.2%, min. 10 EUR). 0.5% currency conversion cost may apply.