Csop: Apac's First Saudi Arabia Etf Debuts In Hong Kong, Gateway For Asian Foreign Investment

KUALA LUMPUR, Nov 29 (Bernama) -- CSOP Asset Management Limited (CSOP) has announced the listing of CSOP Saudi Arabia ETF, the first exchange traded product in Asia Pacific (APAC) tracking the Saudi Arabian equity market.

According to CSOP in a statement, it has the opportunity to work with the Public Investment Fund (PIF) on this new venture, opening up a gateway and a unique opportunity for Asian foreign investment and access to Saudi’s dynamic and diversified equity market.

A global, long-term, impactful investor and catalyst of change, PIF plays a critical role in unlocking opportunities to accelerate economic growth and CSOP brings Saudi Arabia’s wealth of investment opportunities to the doorstep of investors in Asia.

“We are excited and honoured to bring to Hong Kong Asia’s first Saudi Arabia ETF, taking the first step in connecting the capital markets between HK and Saudi.

“CSOP has always been dedicated to enriching Hong Kong’s ETF ecosystem, and we endeavour to keep bringing interesting and differentiated products to our clients in the region,” said CSOP Chief Executive Officer, Chen Ding.

CSOP Saudi Arabia ETF tracks the FTSE Saudi Arabia Index, providing exposure to more than 50 leading large and mid-cap companies listed on Tadawul, Saudi Arabia's stock exchange.

The ETF comprehensively covers sectors including financials, basic materials, energy and telecommunications, capturing the drivers of Saudi Arabia’s economy while providing diversified exposure.

CSOP Saudi Arabia ETF is a physical ETF that adopts a combination of physical and synthetic representative sampling strategy, investing up to 100 per cent of its net asset value in a representative portfolio of securities that collectively has a high correlation to the FTSE Saudi Arabia Index, to achieve its investment objective.

The ETF will list with an initial investment of over US$1 billion, making it the largest Saudi Arabia ETF globally, and it has a listing price at around HKD78 per unit, trading lot size of 10 units and annual management fee of 0.99 per cent. (US$1=RM4.64)

-- BERNAMA