Franklin FTSE Saudi Arabia UCITS ETF

Franklin FTSE Saudi Arabia UCITS ETF is an exchange-traded fund focused on providing investors with direct exposure to the Saudi Arabian equity market through physical replication. Its primary goal is to track the FTSE Saudi Arabia 30/18 Capped Index, which covers both large- and mid-cap companies, with specific caps to prevent overconcentration; the largest constituent is limited to 30%, while all others max out at 18%. The fund holds a diversified portfolio of around 66 companies, with significant emphasis on sectors such as financials, basic materials, energy, and telecommunications. Key holdings include major players like Al Rajhi Bank, Saudi Arabian Oil Co., and Saudi National Bank, with the top ten holdings representing over 64% of assets. Launched in late 2024, and managed by Franklin Templeton, it features an accumulating policy—dividends are reinvested to enhance growth. The ETF is unhedged for currency risk and maintains a long-only strategy. By concentrating on the Saudi market, this ETF plays a unique role in facilitating access to one of the largest and most dynamic economies in the Middle East, offering exposure to pivotal sectors driving regional development and growth.