Subscription opens for Al Rajhi MSCI Saudi Equity ETF
- Source
- Argaam - Company Disclosures
- Source link
- https://www.argaam.com/en/article/articledetail/id/1925408
- Published
- 2026-08-03 13:07:00
- Discovered by ProcIntel
- 2026-08-03 15:26:58
- Category
- Supplier Risk
- Geography
- Saudi Arabia, UAE
- Organisations
- —
- Review status
- Pending
- Record type
- REAL
Summary
<p ><img src="https://argaamplus.s3.amazonaws.com/07def71e-1b50-4a3c-9ae3-3badb8498030.png" ></p> <p class="ckeCaption" >Logo ofAl Rajhi Capital</p> <hr> <p >Subscription to units of the Al Rajhi MSCI Saudi Equity ETF on the Saudi Exchange's main market opens on Aug. 3 and will remain open for 30 business days, closing on Sept. 14, 2026.</p> <p ></p> <p >The fund's minimum launch size is SAR 10 million. If the minimum amount is not raised during the initial offering period, the fund manager will refund subscription proceeds to unitholders, along with any returns generated from investing those funds, without any deductions.</p> <p ></p> <p >The Al Rajhi MSCI Saudi Equity ETF is a public, open-ended exchange-traded fund (ETF) that complies with Shariah standards approved by the fund's Shariah Supervisory Committee. It aims to track and replicate the performance of the MSCI Saudi Arabia Islamic Index, which primarily invests in large-, mid-, and small-cap Saudi-listed companies, before fees and expenses.</p> <p ></p> <p >The fund seeks capital growth through passive management of a portfolio of Shariah-compliant Saudi equities listed on the Saudi Exchange's Main Market (TASI) and Nomu, aiming to closely match the benchmark index while minimizing tracking error. At least 95% of the fund's net asset value (NAV) will be invested in these equities.</p> <p ></p> <p >Up to 5% of NAV may be invested in investment-grade money market transactions with counterparties regulated and licensed by the Saudi Central Bank (SAMA) or an equivalent foreign regulator, as well as Capital Market Authority-licensed money market funds, including those managed by the fund manager, for liquidity management and to meet fund expenses and liabilities.</p> <p ></p> <p >The fund targets retail and institutional investors seeking passive exposure to Saudi equities, subject to the fund's suitability requirements, investment objectives, and associated risks.</p> <p ></p> <table align="center" border="1" cellpadding="0" cellspacing="0" width="100%"> <tbody> <tr > <td colspan="2" > <p><strong>Key Background</strong></p> </td> </tr> <tr > <td > <p><strong>Fund</strong></p> </td> <td > <p>Al Rajhi MSCI Saudi Equity ETF</p> </td> </tr> <tr > <td > <p><strong>Fund type</strong></p> </td> <td > <p><span >Public, open-ended, Shariah-compliant exchange-traded fund</span></p> </td> </tr> <tr > <td > <p><strong>Offering period</strong></p> </td> <td > <p><span >30 business days, from Aug. 3 to Sept. 14, 2026. The fund manager may extend the initial offering by up to 30 additional business days or close it earlier.</span></p> </td> </tr> <tr > <td > <p><strong>Investment objective</strong></p> </td> <td > <p>Capital growth by passively tracking the MSCI Saudi Arabia Islamic Index through investment in Saudi-listed equities.</p> </td> </tr> <tr > <td > <p><strong>Minimum target fund size</strong></p> </td> <td > <p>SAR 10 million</p> </td> </tr> <tr > <td > <p><strong>Unit price</strong></p> </td> <td > <p>SAR 10</p> </td> </tr> <tr > <td > <p><strong>Minimum cash subscription during IPO</strong></p> </td> <td > <p>One creation unit, equivalent to 50,000 fund units, or SAR 500,000</p> </td> </tr> <tr > <td > <p><strong>In-kind subscription</strong></p> </td> <td > <p>Permitted through eligible securities that match the fund's disclosed portfolio and are among assets the fund is allowed to own.</p> <p>The minimum in-kind subscription is 50,000 fund units, equivalent to SAR 500,000. Subscribers will pay a subscription fee through the fund manager of up to 1% of the total investment amount, although the fund manager may waive this fee.</p> </td> </tr> <tr > <td > <p><strong>Cash subscription</strong></p> </td> <td > <p>Cash subscriptions are made directly by contributing an amount determined by the fund manager in exchange for the creation of fund units.</p> <p>The minimum cash subscription is SAR 500,000. Subscribers will pay a subscription fee through the fund manager of up to 1% of the total investment amount, although the fund manager may waive this fee.</p> </td> </tr> <tr > <td > <p><strong>Annual management fee</strong></p> </td> <td > <p>0.25% of NAV. The fund manager bears any additional fees or expenses exceeding this rate, including custody, audit and regulatory fees.</p> </td> </tr> <tr > <td > <p><strong>Fund manager</strong></p> </td> <td > <p>Al Rajhi Capital</p> </td> </tr> <tr > <td > <p><strong>Fund term</strong></p> </td> <td > <p>Open-ended, with no fixed maturity date</p> </td> </tr> <tr > <td > <p><strong>Dividend Policy</strong></p> </td> <td > <p>Dividends received from investments will be reinvested. The fund will not make periodic cash distributions to unitholders.</p> </td> </tr> </tbody> </table>
Procurement Relevance Gate
- geographic_exposure (weight 8) — matched on "2 linked geographies"
Initial Signal Assessment ProcIntel's automatic, provisional read of this individual Signal -- Initial Significance and Initial Confidence, computed deterministically before any Event extraction or human review.
A provisional, automatically-computed reading of this individual Signal, before Event extraction or human review. Not a final rating.
Not Assessed — this Signal did not pass the Procurement Relevance Gate, or is fictional/excluded test data.