On July 16, the domestic capital market ushered in an important progress, as the Huatai-PineBridge CSOP Saudi Arabia ETF (QDII) and Southern Asset Management CSOP-Saudi Arabia ETF (QDII) were formally listed and traded on the stock exchange. This is the first batch of cross-border ETF products directly investing in the Saudi Arabia market in China, marking an important step in the opening up of the capital market at a high level.
On the first day of listing, the market performance of the two funds was quite eye-catching, with both reaching the upward limit, showing investors’ strong interest in the Saudi Arabia market and its related investment products. However, at the same time, Huatai Perry and Southern Asset Management also quickly issued a risk alert announcement, objectively pointing out the possible premium risk of the secondary market trading price, reminding investors to remain rational and pay attention to investment risks.
It is understood that these two cross-border ETF products closely track the FTSE Saudi Arabia Index. The index covers leading companies in a number of key industries in the Saudi Arabian market, including finance, raw materials, energy, utilities and communications. As for the fund-raising situation, the fund-raising scale of Southern Asset Management Saudi Arabia ETF reached 634 million yuan, attracting the participation of 14,193 investors; the fund-raising scale of Huatai Perry Saudi Arabia ETF also reached 590 million yuan, and the number of holders reached 7,665 households.
With the strengthening of economic and trade cooperation between China and Saudi Arabia and the continuous development of the global capital market, the Saudi market will provide Chinese investors with more diversified investment opportunities. The listing of Huatai-PineBridge CSOP Saudi Arabia ETF and Southern Asset Management CSOP Saudi Arabia ETF will undoubtedly provide domestic investors with more convenient and efficient investment channels.
