Saudi Arabia to open stock market wider to foreigners on September 4Staff Writer | August 11, 2016
Saudi Arabia will ease restrictions on foreign investment in its securities markets next month in an effort to attract more institutional money.
Investing The Capital Market Authority:
The stock market opened to direct investment by foreign institutions in June last year, but all types of foreign investor still own only 1.03 percent of the $390 billion market.
In May, the Capital Market Authority (CMA) announced it would ease ownership limits and minimum qualifications for overseas institutions by mid-2017. In a statement on Wednesday, it said the reforms would take effect on September 4.
Among the reforms, each asset manager will only need to have a minimum of $1 billion of assets under management globally to qualify as a foreign institutional investor in Saudi Arabia, instead of the current minimum of $5 billion. ■