Debt, derivatives are key to planned product wave: Tadawul Group CEO 

Khalid Al-Hussan, CEO of Saudi Tadawul Group Holding Co. (Tadawul Group), reveals the Saudi market’s plan for a new wave of investment products

Khalid Al-Hussan, CEO of Saudi Tadawul Group Holding Co. (Tadawul Group), said the Saudi market is gearing up to roll out a new wave of investment products, with a sharp focus on debt instruments and derivatives, keeping pace with the market’s rapid transformation.

He told Asharq Bloomberg that the Saudi market is in its fastest phase of development in decades, moving quickly to introduce new products, from debt instruments to derivatives and data, ahead of a digital expansion driven by AI and blockchain.

Al-Hussan noted that the market’s transformation reflects broader shifts, including product expansion, new listings, and stronger capital formation. Since 2018, IPO proceeds exceeded USD 130 billion, alongside advances in debt instruments, exchange-traded fund (ETFs), and recently launched derivatives.

He said debt instruments form the first pillar of the upcoming product suite, given their importance to both public and private sectors in building capital and liquidity. Plans include strengthening the secondary market and deepening trading activity.

The second pillar focuses on derivatives, where major structural changes are underway and new tools are expected to boost equity liquidity and expand investor hedging and diversification options, while the third pillar targets data as a standalone investment asset.

He said Tadawul Group has invested heavily in data over the past two years, positioning it as a key driver of market depth rather than a revenue stream, adding that data will increasingly shape competition among global exchanges.

On global economic shifts, Al-Hussan said capital is undergoing a major realignment, with more global funds moving toward the Middle East and Asia in search of growth and stability.

He added that falling interest rates, eased trade tensions, and shifting economic power centers are strengthening Saudi Arabia’s appeal. This is besides a growing outflow of capital from Europe towards more dynamic emerging markets, with the Kingdom positioned a key destination.