The Dubai-based branch of online trading platform XTB has announced the launch of fractional shares trading for investors in the United Arab Emirates (UAE). This is an extension of the fractional shares offering to more countries following their introduction earlier this year.

XTB Launches Fractional Shares Trading in the UAE

XTB fractional shares represent genuine ownership and entitle investors to proportional dividend payments Payments One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl Read this Term. The minimum transaction value is EUR 10. There are no commissions for fractional share transactions within a monthly limit of EUR 100,000.

According to the CEO of XTB of MENA, Achraf Drid, fractional shares remove barriers that prevent some customers in the Middle East from investing in stocks. He stated that XTB aims to "foster an equity culture where private investors, irrespective of their portfolio size, can partake in the performance of companies they believe hold significant potential."

Previously, certain high-priced shares were inaccessible to some investors in the UAE due to the high per-share price. For example, Berkshire Hathaway Class A shares are currently trading at over $542,500 per share. With fractional shares, investors can now invest in these companies at a fraction of the full share price.

According to the official press release, the launch aligns with the company's goals of promoting greater financial inclusion and "facilitating accessible and diversified participation in the capital markets."

XTB MENA began its operations in October 2021, expanding its offerings from basic FX/CFD instruments to cryptocurrencies Cryptocurrencies By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw Read this Term, and, in 2023, to stocks as well.

XTB Focuses on Developing New Products

The introduction of fractional shares in the UAE is a response to the popularity of this solution in other parts of the world. Following its debut in Romania at the beginning of the year and subsequent implementation in Spain and Poland, XTB introduced fractional trading in the United Kingdom.

Meanwhile, the company, aiming to attract new clients continuously, decided to develop passive products. The first step was the September launch of ETF-based "Investment Plans," designed to facilitate long-term investing.

The latest addition to the portfolio is interest on idle client deposits, which the company announced in early November.

These new products have already begun to impact the popularity of the publicly traded broker's offerings. As Finance Magnates reported, in November, XTB surpassed 200,000 users in Poland with a brokerage account for trading on the Warsaw Stock Exchange. This made XTB the third-largest brokerage firm in its home country and increased its total global client count to nearly 850,000.