Abu Dhabi, United Arab Emirates – September 28, 2026: UAE retail investors have had six months to assess the effect of geopolitical tensions on their portfolios. The latest UAE Retail Investor Beat suggests their response is changing fewer are cutting exposure to local equities, and more are looking closely at which sectors can hold up through the disruption.
In our August survey of 1,000 retail investors in the UAE, 82% said they expect the UAE stock market to rise over the next 12 months, up from 76% in March. Confidence in the long-term performance of UAE-listed companies reached 93%, while 71% said they plan to invest more over the coming year despite elevated global interest rates.
The shift is clearest among investors who have adjusted their portfolios in response to tensions in the Middle East. Of that group, 14% said they were reducing exposure to UAE equities, down from 25% in March. Investors appear to be making more selective decisions rather than pulling back from the local market altogether.
That does not mean they have stopped thinking about risk. The share who believe geopolitical tensions will definitely have a significant effect on their portfolios over the next six months fell from 38% to 30%. At the same time, 49% now name long-term security as a primary investment goal, up from 34% in March.
Sector sentiment shows how that more careful approach is playing out. Optimism about UAE real estate rose from 54% in March to 58% in August, while technology remained broadly steady at 49%. Energy moved in the other direction, falling from 42% to 35%, as did financial services, from 37% to 33%.
My reading is that investors are distinguishing between companies directly exposed to disruption and those better placed to withstand it. UAE-listed companies continued to report growth through the period, although those with direct exposure to the conflict and its effects faced greater pressure. That helps explain why confidence in the market can rise even while investors remain alert to geopolitical risk.
The survey points to a change in behaviour, not an absence of concern. UAE retail investors are still weighing uncertainty, but many are doing so alongside company performance, sector prospects and their longer-term goals.
The UAE Retail Investor Beat surveyed 1,000 retail investors residing in the UAE between 14 and 21 August 2026. The research was conducted by Appinio for etoro.
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