Chinese investors show growing interest in Saudi market: CSOP

CEO of China’s CSOP Asset Management Chen Ding said that Chinese investors are showing growing interest in the Saudi market. This reflects an increasing desire to diversify portfolios beyond traditional markets, especially given the limited overseas investment quotas in China under the QDI program.
 

Speaking to Argaam on the sidelines of the HSBC GCC Exchanges Conference 2025 in London, Ding said the number of investors in the China-Saudi ETFs exceeded 150,000 within the first week of listing, despite the near depletion of China's quota under the QDI program. This reflects strong demand for investment opportunities in the Saudi market.
 

She clarified that the Saudi ETF is not solely focused on the oil sector, as the financial sector represents over 40% of the index’s weight, while the oil sector accounts for less than 15%, a composition aligned with Saudi Vision 2030’s goal of economic diversification.
 

In February 2023, the company, in collaboration with the Public Investment Fund (PIF), successfully listed a Saudi ETF on the Hong Kong Stock Exchange (HKEX), making it the largest Saudi ETF of its kind globally.
 

In July 2024, the same ETF was dually listed on the Shenzhen and Shanghai stock exchanges, where the funds surged by 30% in the first three trading days, driven by strong demand from Chinese investors.
 

Further, Ding noted that the company is also working to connect Saudi investors with Asian markets, through its partnership with Albilad Capital to launch the Albilad CSOP MSCI China Shariah ETF on the Saudi Exchange (Tadawul). This is the first Shariah-compliant ETF offering Saudi investors exposure to the Hong Kong market.
 

She added that the fund has delivered a return exceeding 20% since the beginning of 2025. Thus, it ranked among the top-performing ETFs globally amid ongoing geopolitical shifts and declining confidence in Western markets.
 

CSOP’s participation in the conference opened new communication channels with government officials and institutional investors. This included Saudi Arabia’s Minister of Investment, to discuss regulatory challenges in the Saudi capital market such as securities lending and borrowing, and to explore cooperation opportunities with institutions such as HSBC, Ding said.