French broker CA Chevreux has started offering its institutional investor clients access to firms listed on the Saudi Arabian stock market (Tadawul) through swap products.
Saudi Arabia’s capital market, the world’s 11th largest, opening up to international investors in August 2008. “By allowing access to Gulf Cooperation Council’s (GCC) principal capital market, we are satisfying interest from our clients who are looking to invest in the region,” said Ian Peacock, global head of execution services, CA Cheuvreux.
CA Cheuvreux’s executing broker on the Saudi Arabian market is Fransi Tadawul, a large local broker and a subsidiary of Banque Saudi Fransi. Under the regulatory guidance of the capital market authority, local authorised entities such as Fransi Tadawul are able to transfer the economic performance of Saudi stocks to non-GCC investors through swap agreements.
“This new development complements our strategy of providing our institutional clients with a full range of services and support, from research to execution, throughout the Gulf Region,” said François Simon, chairman and CEO, CA Cheuvreux.