PIF, State Street launch Saudi equity ETF

The Public Investment Fund (PIF) and State Street Investment Management (State Street IM) launched State Street Saudi Arabia Enhanced Active Equity UCITS ETF (SAQL).

The PIF is an anchor investor in the ETF, which will actively invest in Saudi equities using a quantitative multi-factor stock selection model, the fund said in a statement received by Argaam.

The fund explained that the investment aligns with its strategy to strengthen and diversify investment products in the Saudi capital market by attracting international capital, empowering financial institutions, expanding financing options for the private sector, and introducing new investment 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.

“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”, said Yazeed Al-Humied, Deputy Governor and Head of MENA Investments at PIF.

“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”, he added.

PIF’s strategic partnerships with top global asset managers have helped attract key foreign investment to the Saudi market, with several leading firms establishing or expanding their local presence.

The London Stock Exchange (LSE) hosted a bell-ringing ceremony for the fund’s listing, which was initially listed on Germany’s Xetra exchange and will be available to qualified investors in the UK and Germany, as well as in other major European markets.

PIF said 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 the maturation of market structure and data quality, enabling SAQL to use a systematic active approach when investing in Saudi equity securities. SAQL provides international investors with exposure to this rapidly evolving economy.

The ETF is registered for sale in Austria, Denmark, Finland, France, Germany, Ireland, Italy, Luxembourg, the Netherlands, Norway, Spain, Sweden and the UK.

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.