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The Saudi market is separated by only a few days from the influx of billions of dollars to it and its enjoyment of wholesale benefits, in addition to incentives for the next steps, as it will not be the last step, it is expected that the FTSE Foundation will start The British sent the first steps to include the Saudi index to emerging market indices, which the Saudi market is expected to have the largest share among them at the level of the Middle East region, starting next Sunday, March 18th.
32 companies and 1.6 trillion riyals
According to a report by Fetousy Russell, 32 companies listed in the Saudi market are expected to join the FTSE Russell Index, which is one of the largest companies listed in the Saudi market in terms of market value, number of free shares and the remaining percentage of Allowed percentage of foreign ownership.
According to a statistic carried out by Namazen, the market value of the 32 companies is 1.65 trillion riyals, representing 82.3% of the total market value of all market companies of 2.00 trillion riyals, according to the closure of Sunday March 10, which shows the size of these companies and the extent of their influence on the market index in general.
22% to SABIC
And came on top of the companies that are expected to join the FTSE index, SABIC, which accounted for 22.1% of the total market value of the 32 companies, followed by Saudi Telecom with 12.1%, then Al-Rajhi with 9.6 %, And Al-Ahly 9.5%, meaning the four companies account for 53.4% of the total market value of the companies.
The most important event in two decades
The inclusion of the Saudi market in the FTSE index is the largest event in the emerging markets in nearly two decades and specifically since 2001, and it is one of the important developments for global investors, as it will serve as a boost to the markets in the Middle East region, As foreign investment in the region continues to grow, Futsi Russell will commit to staying ready to meet investor needs and facilitate these investments.
$ 50 trillion
The Saudi Capital Market Authority expects that the market’s joining the FTSE Russell index for emerging markets will contribute to increasing liquidity due to increased financial flows from foreign institutional investors who use this index to follow and evaluate the huge assets that they manage.
FTSE Russell divides the markets in its global set of indicators into 4 categories: advanced markets, advanced emerging markets, secondary emerging markets, and sub-emerging markets.
With respect to the Emerging Markets Index, funds worth $ 200 billion continue to follow this index. The Emerging Markets Index contains more than 2000 companies from 24 countries, including Egypt, India and Russia, with a total market value of $ 4.7 trillion. As for the total set of indicators, it includes 7800 companies from 47 countries with a market value ...