Today's Edition
A. SREENIVASA REDDY (ABU DHABI)
Lunate, an Abu Dhabi-based global investment management firm, has announced the launch of the Boreas Solactive Quantum Computing UCITS ETF, the first thematic exchange-traded fund (ETF) to be introduced in the region.
The fund is scheduled to list on the Abu Dhabi Securities Exchange (ADX) on September 22, 2025, under the ticker QUANTM.
The ETF will track the Solactive Developed Quantum Computing Index, offering investors exposure to companies advancing quantum computing technologies. Its portfolio will comprise 25 firms, including specialised pure-play players such as IonQ and Rigetti, alongside global technology leaders such as Microsoft, Nvidia and IBM.
Subscriptions will be open from September 10 to 16 via six authorised participants and the ADX eIPO portal. The ETF will carry a total expense ratio of 49 basis points.
Quantum computing, which leverages the principles of quantum mechanics to achieve computational breakthroughs, is seen as a transformative technology with applications in drug discovery, advanced materials design, energy systems, climate modelling, financial risk analysis and quantum-safe cybersecurity.
Sherif Salem, Partner and Head of Public Markets at Lunate, said the launch underscores the firm’s role as an innovator in the regional ETF market. “The launch of a thematic ETF complements our 18 existing ETFs and will provide convenient exposure to global megatrends and themes. Together, Lunate’s 19 ETFs enable investors to construct comprehensive, diversified portfolios,” he said.
Abdulla Salem Alnuaimi, Chief Executive Officer of ADX, highlighted the significance of the listing. “The launch and upcoming listing of the 17th ETF on ADX underscores our role in driving growth and unlocking investment access via world-class financial products. This vehicle provides our investors with valuable exposure to global companies in quantum computing, including Alphabet, Amazon, Microsoft and Nvidia,” he said.
Steffen Scheuble, Chief Executive Officer of Solactive, described the collaboration with Lunate as a milestone. “By reflecting the pioneering companies shaping the future of quantum computing, this index aims to give investors in the Middle East efficient access to one of the most transformative technological themes,” he said.
ETFs listed in the UAE offer several advantages over those domiciled abroad. Vijay Valecha, Chief Investment Officer at Century Financial, told Aletihad: “Being listed on ADX, the new Lunate ETF enables investors to trade during local market hours, avoiding the time-zone challenges that many investors often face.”
He added that locally listed ETFs also provide currency flexibility. “Non-seasoned investors may not be accustomed to tracking their portfolio values in currencies other than their home country’s currency. As QUANTM is listed on ADX, it offers shares in dirhams, which is convenient for UAE-based investors,” Valecha said.
UAE-based ETFs also carry tax advantages. “It is worth noting that the US and the UAE do not have a double tax treaty in place, which means that any dividend a UAE investor obtains from the US would be subject to a 30% withholding tax,” he added.
Welcoming the launch, Samer Mardini, Chief Investment Officer at a Dubai-based family office, said: “The launch of Lunate’s Quantum ETF is a milestone for Abu Dhabi’s markets, giving investors efficient access to quantum innovators and global tech leaders, while strengthening market diversity and highlighting the region’s role in innovation-driven finance.”
