Arab News Japan
TOKYO: Mizuho Financial Group announced that One ETF FTSE Saudi Arabia Index was listed on the Tokyo Stock Exchange on Thursday.
One ETF FTSE Saudi Arabia Index is an exchange traded fund established and managed by its subsidiary Asset Management One and invests in the Saudi Arabian equity market.
The Public Investment Fund and Mizuho Bank are anchor investors in One ETF FTSE Saudi Arabia Index. The initial market capitalization of the ETF exceeded 15 billion yen ($100 million), making it the largest ETF investing solely on the Saudi Arabian equity market on TSE1.
Through the ETF, Mizuho provides investors with access to one of the world’s fastest growing markets and contributes to the development of Saudi and global capital markets.
The launch and listing of the ETF is a significant achievement in enabling greater access to Saudi Arabia’s diversified equity market. The ETF further solidifies the growing relationship between PIF and Japanese investors, driving cross-border opportunities, foreign direct investment and bridging Japan and Saudi Arabia’s capital markets.
Noriyuki Sato, senior executive officer and head of asset management at Mizuho said that the Saudi financial market had shown significant transformation and experienced rapid growth.
“We are very excited to provide an investment product investing in this attractive market through the partnership with PIF and the listing of the One ETF FTSE Saudi Arabia Index. Mizuho will contribute to both individual asset growth in Japan and connectivity between Japan and the Saudi capital market.”
Yazeed A. Al-Humied, deputy governor and head of MENA investments at PIF, said: “Tokyo is a top-ranked global financial center and represents a significant opportunity in PIF’s strategy to open gateways and enable access to Saudi Arabia’s dynamic capital market.
“Our partnership with Mizuho and the launch of One ETF FTSE Saudi Arabia Index will present new opportunities for Japanese investment into the Saudi equity market, one of the most attractive destinations for capital inflows in the world today.”
The listing was part of a wider Mizuho-led investment program with the inaugural Saudi Investment Forum also taking place in Tokyo, bringing together leading financial institutions and listed companies in Japan and Saudi Arabia.