PIF and State Street Investment Management (State Street IM), one of the world’s largest asset managers, today announced the launch of the State Street Saudi Arabia Enhanced Active Equity UCITS ETF (Ticker: SAQL) with PIF as anchor investor. The fund actively invests in equities of companies in Saudi Arabia using a quantitative multi-factor stock selection model.
SAQL has its primary listing on the Xetra exchange in Germany and is cross listed on the LSE in the United Kingdom, where a bell ringing ceremony was held. The fund will be available to investors in both markets as well as investors across other key markets in Europe.
The investment marks another step in PIF’s strategy to further deepen and diversify the Saudi capital market by attracting international capital flows, empowering financial institutions, broadening financing options for the private sector and introducing new products.
The newly launched fund is the second State Street IM ETF in which PIF has made an anchor investment, and the fifth ETF investment for PIF across nine global markets with leading international asset managers. New and innovative Saudi-focused products were listed in Hong Kong, London, Shanghai, Shenzhen, Tokyo, Frankfurt, Italy and Singapore.
Yazeed Al-Humied, Deputy Governor and Head of MENA Investments at PIF, said: “PIF is further strengthening Saudi Arabia’s capital market ecosystem, working with our partners to open gateways for international investors, enable access and drive global capital inflow into the country. Our continued partnership with State Street IM reinforces a shared commitment to enhance and diversify the product range, to present new opportunities for international investors into the Saudi market and unlock capital pools. The launch of this ETF further deepens the Saudi market and builds on a series of PIF-anchored ETF listings across international markets, cementing PIF’s role in driving increased product diversification to enhance liquidity and fulfill market needs.”
PIF’s strategic partnerships with top global asset managers have contributed to attracting key foreign investments to the Saudi market, with several leading firms establishing or expanding presence locally.
Yie-Hsin Hung, Chief Executive Officer of State Street Investment Management, said: “We’re thrilled to continue our partnership with PIF by bringing another innovative Saudi-focused ETF product to market for our European clients. Saudi Arabia’s success story in recent years speaks for itself – with the combination of a rapidly expanding domestic market and a supportive regulatory landscape creating a truly compelling prospect for investors around the world. At State Street, as with PIF, innovation is in our DNA and we’re pleased to offer a new product in this same vein, drawing on our decades of experience and commitment to quality to underpin an exciting new offering, anchored by PIF.”
With the launch of SAQL, State Street IM adds a Saudi‑equity product range to its suite of innovative, industry‑leading products, giving investors exposure to one of the most consequential economic transformations among G20 economies. The listing of SAQL follows the launch of the SPDR J.P. Morgan Saudi Arabia Aggregate Bond UCITS ETF (KSAB) in January 2025, as well as the fund’s cross-listing on the Singapore Stock Exchange in September 2025.
Quantitative funds, such as SAQL, use mathematical modeling, algorithmic, and data-driven methods to manage portfolios. The Saudi capital market has evolved beyond legacy sectors, with maturation of market structure and data quality – enabling SAQL to use a systematic active approach when investing in Saudi equity securities. SAQL provides an opportunity for international investors to obtain investment exposure to this rapidly evolving economy.
The fund is registered for sale in Austria, Denmark, Finland, France, Germany, Ireland, Italy, Luxembourg, the Netherlands, Norway, Spain, Sweden and the UK.
Source: Riyadh Daily