#Saudi FTSE inclusion to attract up to $7bln of passive inflows by March 2020: index provider | ZAWYA MENA Edition

Saudi FTSE inclusion to attract up to $7bln of passive inflows by March 2020: index provider | ZAWYA MENA Edition:

The transition of Saudi Arabia to secondary emerging market status within FTSE Russell, which began on Monday, is expected to draw up to $7 billion of passive fund inflows into the kingdom, the global index provider told Zawya, noting a positive initial response.

The kingdom's stock exchange (Tadawul) is the Arab world’s largest bourse with a total market capitalisation of over half a trillion dollars.

“The transition of Saudi stocks into the FTSE global equity benchmarks is taking place in 5 tranches to ensure a smooth, orderly process for investors. At the end of this process, in March 2020, the projected passive inflows are around $6-7 billion,” FTSE Russell told Zawya in emailed response to questions.