عربي English Türkçe اردو فارسى
Logo
Latest News
Business

Saudi Arabia Approves First ETFs Tracking Hong Kong-listed Equities 

Saudi Arabia Approves First ETFs Tracking Hong Kong-listed Equities 
TT
TT

Saudi Arabia Approves First ETFs Tracking Hong Kong-listed Equities 

Saudi Arabia Approves First ETFs Tracking Hong Kong-listed Equities 

Saudi Arabia has granted approval for its first exchange-traded funds (ETFs) tracking equities listed in Hong Kong on Tuesday, the Capital Market Authority (CMA) said, marking the debut of such a product in the Middle East.

Saudi Arabia's CMA said in a statement it approved local asset manager AlBilad Investment Company's request to offer "Albilad CSOP MSCI Hong Kong China Equity ETF" units on the Saudi Stock Exchange (Tadawul).

The ETF is a collaborative effort with Hong Kong's CSOP Asset Management, and focused on Hong Kong-listed companies including Chinese firms traded in the city.

Last November, Hong Kong launched Asia's first ETF tracking Saudi equities - CSOP Saudi Arabia ETF - and has been actively seeking cross-listing opportunities in both capital markets.

The Hong Kong-listed ETF's size has expanded to nearly HK$10 billion ($1.28 billion).

In June, Julia Leung, CEO of Hong Kong's Securities and Futures Commission (SFC), visited Saudi Arabia to meet officials and discuss the potential listing of the ETFs on each other's exchanges.

China also approved its first two mainland listed ETFs tracking Hong Kong's CSOP Saudi Arabia ETF in June, seeking to further strengthen financial sector cooperation between the two regions and provide Chinese investors exposure to Middle East companies.

Most Viewed

 
 
Business

Gold Edges Up on Weak US Dollar, Political Uncertainty

Gold bars from the vault of a bank are seen in this illustration picture taken in Zurich November 20, 2014. - Reuters
Gold bars from the vault of a bank are seen in this illustration picture taken in Zurich November 20, 2014. - Reuters
TT
TT

Gold Edges Up on Weak US Dollar, Political Uncertainty

Gold bars from the vault of a bank are seen in this illustration picture taken in Zurich November 20, 2014. - Reuters
Gold bars from the vault of a bank are seen in this illustration picture taken in Zurich November 20, 2014. - Reuters

Gold prices edged higher on Wednesday, aided by a weaker US dollar and political uncertainty following the latest import tariffs announced by US President Donald Trump.

Spot gold firmed 0.1% $2,918.83 an ounce as of 0955 GMT after rising nearly 1% on Tuesday. Prices hit a record high of $2,956.15 on February 24 and have gained 11% so far this year.

US gold futures rose 0.3% to $2,929.70.

"Uncertainty is food and water for gold and hence the bias on prices is to the upside," independent analyst Ross Norman said, Reuters reported.

"Gold looks content to consolidate after recent gains, but with one eye firmly on the $3,000 level."

The dollar index dropped to a three-month low, making bullion more appealing to other currency holders.

In an address to Congress, Trump said further tariffs would follow on April 2, including "reciprocal tariffs" and non-tariff actions aimed at balancing out years of trade imbalances. This came just after he followed through on new 25% tariffs on imports from Mexico and Canada that took effect on Tuesday, along with a doubling of duties on Chinese goods to 20%.

Meanwhile, top bullion consumer China unlocked more fiscal stimulus, promising greater efforts to support consumption and cushion the impact of an escalating trade war with the United States.

Markets now await the ADP employment report due at 1315 GMT and US nonfarm payrolls on Friday for cues on the US interest rate trajectory.

"Geopolitical events and tariffs are currently overshadowing economic data... Significant deviations from market expectations would be needed to create meaningful movement, and any reaction to this week’s ADP and payrolls data is likely to be short-lived," said Zain Vawda, market analyst at MarketPulse by OANDA.

Spot silver advanced 1% to $32.32 an ounce, platinum gained 1% to $970.20, and palladium added 1% to $951.50.