Invesco MSCI Saudi Arabia UCITS ETF

The Invesco MSCI Saudi Arabia UCITS ETF is an exchange-traded fund that seeks to replicate the performance of the MSCI Saudi Arabia 20/35 Capped Index, less fees and expenses. This index captures large and mid-cap securities from the Saudi Arabian equity market, covering approximately 85% of the free float-adjusted market capitalization. It applies capping rules to limit the largest entity's weight to 35% and others to 20%, promoting diversification within key holdings like Al Rajhi Bank, Saudi Arabian Oil Company, and National Commercial Bank. Launched on 12 June 2018 and domiciled in Ireland, the ETF employs a synthetic replication method using swaps and follows a long-only, passive strategy. It is UCITS-compliant, accumulating dividends by reinvesting them to enhance share price growth, with a total expense ratio of 0.50% per annum and assets under management around $32-44 million USD. Denominated in USD and unhedged against currency risk, the fund provides investors targeted exposure to Saudi Arabia's evolving market, spanning sectors such as banking, energy, telecommunications, and mining, without securities lending. This ETF plays a vital role in offering accessible access to one of the world's fastest-growing emerging markets.