Saudis to Ease Stock Market Rules in New Foreign Lure
- Biggest Arab bourse to lower AUM requirement, alter settlement
- Changes will come into effect in first half of next year: CMA
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Saudi Arabia took further steps to open up its stock market to foreigners in a move that may help it get included in a key index of developing-nation equities.
The kingdom will cut the amount of assets foreigners must have under management to invest directly in the nation’s stocks to 3.75 billion riyals ($1 billion) from 18.75 billion riyals, according to a statement on the market regulator’s website on Tuesday. The exchange will also amend its settlement cycle for share trading, bringing it in line with European markets. The changes will be effective before the end of the first half of 2017, the Capital Market Authority said in a statement on Wednesday.