All Categories
Featured
Table of Contents
The sector also faced wider macro headwinds, including a more mindful policy background in China and international risk-off sentiment driven by geopolitical stress and greater energy prices. Thematic ETFs Struggled for the most part, particularly those linked to carbon and high-growth technology, as appraisal pressures and global rate characteristics weighed on performance.
Flows in Q1 2026 were modest and highly focused, showing selective allowance rather than broad market participation. Regardless of weak efficiency, ETFs taped $27.1 million in net inflows, with only a small number of products attracting new capital.
Trading activity remained constant, with average 30-day volumes around 33,000 shares, concentrated in a handful of larger and more liquid ETFs. A lot of activity appears to have actually taken place in the secondary market, making it possible for investors to change positions without significant primary developments or redemptions.
In January, Boreas released its S&P Global High-end UCITS ETF, adding a specific niche thematic exposure concentrated on international luxury and customer brand names. Momentum continued into April with the approval of KraneShares AGIX and KWIN ETFs by the CMA for cross-listing on ADX. These funds are expected to release in April pending a last approval from ADX.
Q1 2026 revealed some progress connecting to ETFs in the GCC. We expect more international and thematic ETFs to list in the GCC during 2026. While the conflict has actually impacted sentiment and prices throughout the quarter, it has driven more volume and interest in regional properties.
In spite of continuous geopolitical tensions and security threats throughout the Middle East, the economies of the Gulf Cooperation Council (GCC) have actually continued to demonstrate resilience, preserving favorable growth momentum in the last few years. While conflicts in the wider region and worldwide financial unpredictability remain a structural restriction, GCC countries have up until now restricted their effect on domestic financial performance through strong financial positions, policy continuity, and sustained financial investment.
3.2 percent growth in 2025, speeding up to 4.5 percent in 2026. Sees momentum improving, with GCC output growth projected to rise from 1.7 percent in 2024 to 3.3 percent on average in 2025, showing a shift toward more favorable total conditions.
The IMF's World Economic Outlook (October 2025) jobs international development alleviating to 3.1 percent in 2026, with advanced economies around 1.5 percent and emerging market and establishing economies simply above 4 percent. On that comparison, a 4.44.5 percent GCC growth would put the area materially ahead of the world average and somewhat above (or broadly in line with) the emerging-market aggregate, enhancing the GCC's status as a reasonably high-growth pocketprovided that local risk conditions remain consisted of and reform momentum holds.
Data from the GCC Statistical Center reveal that non-oil sectors currently represent more than 73 percent of total GDP, a share that has continued to increase as federal governments broaden investment in services, facilities, and innovation. According to Oxford Economics, non-energy activity throughout the GCC is predicted to grow by around 4.1 percent in 2026, supported by strong labor markets, improving credit conditions, and rising financial investment in innovation and AI-related facilities.
Public-sector investment and reform stay central to sustaining this trend. Policy steps aimed at drawing in foreign direct financial investment, easing foreign ownership rules, broadening capital markets, and supporting private-sector participation continue to underpin non-oil expansion and minimize the area's exposure to oil rate volatility. While hydrocarbons no longer dominate the development outlook, oil earnings are expected to play an encouraging function in 2026.
The World Bank, on the other hand, jobs 3.2 percent growth in 2025, accelerating to 4.5 percent in 2026. The IMF similarly sees momentum improving, with GCC output growth projected to increase from 1.7 percent in 2024 to 3.3 percent usually in 2025, reflecting a shift toward more favorable overall conditions.
The IMF's World Economic Outlook (October 2025) projects international development alleviating to 3.1 percent in 2026, with sophisticated economies around 1.5 percent and emerging market and developing economies simply above 4 percent. On that comparison, a 4.44.5 percent GCC expansion would put the area materially ahead of the world average and somewhat above (or broadly in line with) the emerging-market aggregate, strengthening the GCC's status as a fairly high-growth pocketprovided that local risk conditions stay contained and reform momentum holds.
Data from the GCC Statistical Center reveal that non-oil sectors currently account for more than 73 percent of overall GDP, a share that has actually continued to increase as governments broaden investment in services, infrastructure, and innovation. According to Oxford Economics, non-energy activity across the GCC is predicted to grow by around 4.1 percent in 2026, supported by strong labor markets, enhancing credit conditions, and increasing financial investment in technology and AI-related infrastructure.
Public-sector financial investment and reform stay main to sustaining this trend. Policy measures aimed at drawing in foreign direct financial investment, relieving foreign ownership rules, expanding capital markets, and supporting private-sector participation continue to underpin non-oil growth and minimize the region's direct exposure to oil rate volatility. While hydrocarbons no longer control the growth outlook, oil revenues are anticipated to play a supportive role in 2026.
Latest Posts
Maximizing Corporate Efficiency Through Operational Excellence
Advanced Planning for GCC Leadership
How to Successfully Implement Future Strategies for 2026
