- The four new Tadawul indices are: The Tadawul Large Cap Index, Tadawul Medium Cap Index, Tadawul Small Cap Index, and the Tadawul IPO Index
- The launch of the indices aligns with the Saudi Exchange's ongoing initiatives to provide investors with enhanced benchmark opportunities and stimulate growth in new products for investors.
Riyadh, Saudi Arabia : The Saudi Exchange has launched four new indices, marking a significant step forward in the development of the Saudi capital market. These indices, based on company size and IPO performance, provide investors with a broad range of investment benchmarks while enabling institutions to offer new products to meet growing investor strategies.
The Size Indices introduced by the Saudi Exchange reflect the market's composition, with Tadawul Large companies accounting for 70% of the free float market cap, Tadawul Medium-sized companies accounting for 20%, and Tadawul Small companies comprising the remaining 10%. The Size Indices provides investors with benchmarks to broaden their investment strategies and to capitalize on specific market opportunities.
In addition, the Tadawul IPO Index will be introduced to track the performance of companies listed on the Main Market within the past five years. This index will provide investors with a benchmark to evaluate the performance of their IPOs and a unique opportunity to invest in new and rapidly growing companies.
Similar to the current Tadawul All Share Index (TASI), the maximum weight of any index constituent will be 15%, ensuring a balanced representation of the entire market. These new indices serve as valuable benchmarks for specific investment products, allowing institutional investors to track the performance and activities of different segments of the market.
Commenting on the launch, Mohammed Al Rumaih, CEO of the Saudi Exchange, said, "The introduction of the four new indices represent a significant step forward in the development of the Saudi capital market. By introducing size indices that reflect the market's composition, we aim to provide a balanced representation of the market and offer investors a diverse range of investment opportunities. Furthermore, the Tadawul IPO Index will enable investors to participate in the growth potential of new and rapidly expanding companies listed on the Main Market. We believe these indices will serve as valuable benchmarks for investment products and will allow both local and foreign investors to access and benefit from our dynamic and growing capital market.”
For more information about the Saudi Exchange’s Tadawul Size Indices and IPO Index, please visit the Saudi Exchange website:
Tadawul Market Size Indices
Tadawul IPO Index
-Ends-
About Saudi Exchange
The Saudi Exchange is the authorized entity in the Kingdom of Saudi Arabia to act as the Kingdom’s securities exchange (the Exchange), listing and trading in securities. The Saudi stock market is the 9th largest stock market among the 67 members of the World Federation of Exchanges and is the dominant market in the Gulf Cooperation Council (GCC). The Exchange is the 3rd largest stock market amongst its emerging market peers. For more information see: www.saudiexchange.sa
Saudi Tadawul Group Media contact:
Ahmed Jebur
Ahmed.jebur@fgsglobal.com