HSBC Saudi Arabia has added two new local equity funds to its local equity fund family.

The bank has launched the HSBC Saudi Equity Index Fund and the HSBC Petrochemical Equity Opportunities Fund.

The new funds, which capitalise on the company’s local capabilities and expertise, position HSBC Saudi Arabia as the top provider of local equity funds in terms of diversity and number.  With this,  the total number of mutual funds offered by HSBC Saudi Arabia goes to 30.

Both of the new investment funds are open-ended and aim to achieve capital growth over the medium to long term.

The HSBC Saudi Equity Index Fund will invest in a portfolio of equities of selected companies listed on the Tadawul and corresponding to the constituents of the HSBC Saudi Equity Index.

The HSBC Saudi Equity Index comprises of about 37 stocks, which are representative of the market capitalisation of the broad range of economic sectors in Saudi.  The companies included reflect the breadth and depth of the Saudi stock market, from banks to bookstores, and from petrochemicals to publishing.

The HSBC Saudi Petrochemical Equity Opportunities Fund is a more specialised investment vehicle, investing in expanding petrochemical companies listed in the Saudi equity market.

Osama M Shaker, head of investments, commented: “This is an exciting move for us and for local and international investors in Saudi equity funds. The HSBC brand is a familiar and trusted one in Saudi Arabia and around the world but these are the first funds to be issued here under the banner of HSBC.

This is an extremely exciting development for us and adds significantly to our existing offering of Saudi funds which have seen strong growth and increasing interest in recent years.”--TradeArabia News Service