Best Mutual Funds in UAE

Page Summary

Mutual funds are pooled securities managed by professional fund managers, where your capital is combined with other investors money. Fund managers actively manage the portfolio to meet certain investment goals of their clients, meaning they balance the risk exposure based on the expected returns.

That said, investing in mutual funds is a good option to consider for investors that don’t want to select their own investment portfolio or want their assets to be managed by a professional trader fast, easy, and quickly.

In this guide, we go over the best mutual funds for UAE investors to help you make an informed decision. If you are new to investing, we recommend checking this article on how to invest in mutuals first.

How to Invest In Mutual Funds in UAE?

There are two different ways to invest in funds from the UAE. You can invest using a brokerage account, which is a more hands on approach and requires some prior experience. Or you use a UAE local investment company that operated as a middleman and handles the investment on your behalf. Although the second option relates to higher fees, it is a choice to consider for absolute beginners, who need some handholding on their first steps.

1. Investing in International Mutual Funds Using a Brokerage Account

You can invest in international funds on your own via a mutual fund broker and platform. While this is a great option for casual traders, it might be to complex for most beginners. If you are new to investing you should start with contacting a financial advisor first and get your risk profile and investment goals checked by a professional.

If you are investing on your own, you can get a better idea of the best performing international funds with a minimum investment below $3000 below: Shelton NASDAQ-100 Index Direct, Voya Russell Large Cap Growth Index Fund, Fidelity NASDAQ Composite Index, Voya Russell Large Cap Index Port I and Fidelity 500 Index Fund.

2. Investing in Local UAE Mutual Funds Through an Investment Bank (Company)

You can invest in local UAE mutual funds via local investment companies that specialize in investing in the MENA and GCC regions. Compared to the self directed approach using a brokerage account, these investment firms offer Islamic and Sharia-compliant funds and additional financial advisory services for beginners. If you are new to investing and have no prior experience you should consider using services of an investment company.

Regardless of the knowledge level and investment type you want to use, below are 5 of the best performing mutual funds over the last 5 years.

The TOP 5 Mutual Funds in UAE

  • Shelton NASDAQ-100 Index Direct (NASDX)
  • Voya Russell Large Cap Growth Index Fund (IRLNX)
  • Fidelity NASDAQ Composite Index (FNCMX)
  • Voya Russell Large Cap Index Port I (IILRX)
  • Fidelity 500 Index Fund (FXAIX)

Below we break down the best international funds available in UAE including pros, cons, and key takeaways to make your decision easier.

1. Shelton NASDAQ-100 Index Direct (NASDX)

The Shelton Nasdaq-100 Index Direct fund tracks the performance of non financial-primarily tech companies in the Nasdaq 100 Index. Over the last decade, this fund stands out with its strong performance, which started back in 2000.

Shelton-NASDAQ-100-Index-Direct- NASDX

2. Voya Russell Large Cap Growth Index Fund (IRLNX)

IRLNX  invests at least 80% of its net assets in the equity of companies, as well as convertible securities. It tracks the performance of large US-traded companies


3. Fidelity NASDAQ Composite Index (FNCMX)

FNCMX invests at least 80% of its assets in common stocks included in the NASDAQ index. The advisors use statistical sampling techniques to create a portfolio that represents the entire index. The fund lends securities to earn income.


4. Voya Russell Large Cap Index Port I (IILRX)

The fund has a similar investment portfolio as the Voya Russell Composite Index. The main difference is that fund is more focused on the companies with higher value (not with higher growth potential as IRLNX)    

Voya-Russell-Large-Cap-Index-Port-I- IILRX

5. Fidelity 500 Index Fund (FXAIX)

The Fidelity 500 Index Fund tracks the S&P 500 index. It is one of the main benchmarks for U.S. stocks. The fund provides returns that are like the performance of the S&P 500. As of May 18, 2022, the fund has assets totaling almost $366.26 billion invested in 509 different holdings


The Top Funds Compared Side By Side In Main Categories

The table below compares the top rated funds based on the most important criteria: expense ratio, max rating, Morningstar rating, returns in different time frames, and minimum investment.

Top Funds Compared Side By Side

Mutual Funds Ticker MAX Rating 1y 3y 5y 10y Expense Ratio Min Invest. Type Category Morning Star
Shelton NASDAQ-100 Index Direct NASDX 98 -7,4 21,7 17,2 18,2 0,51 1000 No Load Large Growth 5
Voya Russell Large Cap Growth Index Fund IRLNX 100 -3,7 19,9 16,9 16,5 0,43 0 No Load Large Growth 5
Fidelity NASDAQ Composite Index FNCMX 95 -11,4 18,4 15,2 16,7 0,29 0 No Load Large Growth 5
Voya Russell Large Cap Index Port I IILRX 91 -1,5 16,8 13,7 14,4 0,36 0 No Load Blend 5
Fidelity 500 Index Fund FXAIX 98 0,3 16,13 13,4 14,4 0,02 0 No Load Blend 5
Schwab Fundamental U.S. Large Company Index Fund SFLNX 97 4,2 18,4 13,4 14,1 0,25 0 No Load Large Value 5
Vanguard Growth & Income Inv VQNPX 93 0,8 16,8 13,4 14,4 0,31 3000 No Load Blend 5
Vanguard Equity Income Fund  VEIPX 93 8,4 14,8 11,5 13 0,28 3000 No Load Large Value 5
Vanguard Value Index Fund VVIAX 91 5,4 14,3 11,4 13,2 0,05 3000 No Load Large Value 5
Fidelity Emerging Market Fund FEMKX 87 -23,3 8,3 7,2 7,1 0,88 0 No Load Emg. Markets 5
DSP BlackRock Global Allocation Fund DSPMX 87 -12,29 7,61 6,47 5,16 2,1 0 No Load Blend 5
Vanguard Dividend Growth Inv VDIGX 97 5,8 14,6 13,5 13,7 0,27 3000 No Load Blend 4
DFA US Large Company I DFUSX 99 -0,4 16,4 13,3 14,3 0,08 0 No Load Blend 4
Northern Stock Index NOSIX 98 -0,4 16,3 13,3 14,3 0,1 2500 No Load Blend 4
T. Rowe Price Equity Index 500 PREIX 95 -0,5 16,2 13,2 14,1 0,16 2500 No Load Blend 4
PIMCO Commodity Real Ret Strat Instl PCRIX 61 43,1 23,6 13,1 1,5 0,73 1000 No Load Nat. Resources 4
T. Rowe Price Dividend Growth PRDGX 85 1,5 14,5 13 14 0,62 2500 No Load Blend 4
Fundsmith Equity  FEDX 86 0,19 5,97 9,49 16,02 0,94 100 No Load Blend 4
Fidelity Global Dividend Fund FGDF 91 2,6 5,26 6,17 11,4 0,93 0 No Load Blend 4

How Did We Select The Best Mutual Funds?

To get our list of top mutual funds in UAE we have compared 98 funds available in UAE in 7 different categories that are listed below. Make use of the below criteria and comparison to make the right choice:

  • Fund are available to residents of UAE
  • 5 star rating according to MorningStar
  • MaxFunds rating above 90 points (out of 100)
  • No sales load (commission)
  • Expense ratio is below 0.60%
  • Minimum investment is below $5000
  • We measure funds according to 5year annualized performance 
  • Best Funds Categories


Investing in mutual funds is a great choice for investors to diversify their investment portfolio, get their investment managed by professionals and reach better liquidity. Our guide is a great starting point for you to make an informed decision about which fund to choose and how to get started.

Remember that it’s always a good idea to do your own research and to keep an open eye on funds and their managers.


eToro is a multi-asset platform which offers both investing in stocks and cryptoassets, as well as trading CFDs.

Please note that CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.

Past performance is not an indication of future results. Trading history presented is less than 5 complete years and may not suffice as basis for investment decision.

Copy trading is a portfolio management service, provided by eToro (Europe) Ltd., which is authorised and regulated by the Cyprus Securities and Exchange Commission.

Cryptoasset investing is unregulated in some EU countries and the UK. No consumer protection. Your capital is at risk.

eToro USA LLC does not offer CFDs and makes no representation and assumes no liability as to the accuracy or completeness of the content of this publication, which has been prepared by our partner utilizing publicly available non-entity specific information about eToro.


Please enter your comment!
Please enter your name here

This site is registered on as a development site.