Nasdaq Dubai launches futures trading on FTSE’s Saudi index

Nasdaq Dubai has launched futures trading on FTSE Russell’s “FTSE Saudi Arabia Index”, which tracks 46 Tadawul-listed companies, the bourse said in a statement on Tuesday.

The futures are designed as investment tools for global and regional investors including funds that use the index as a benchmark for investing in Saudi equities.

The move is part of a rapid expansion of Nasdaq Dubai’s equity derivatives market covering Saudi Arabia, whose stock market is the largest and most heavily traded in the Middle East.

Last month, Nasdaq Dubai launched single stock futures trading on 12 Saudi companies.

“The launch of futures on FTSE Russell’s benchmark Saudi index reflects Dubai’s strategy of cooperating with internationally respected entities to promote capital markets excellence and increase synergies between regional markets,” said Abdul Wahed Al Fahim, chairman of Nasdaq Dubai.

The trading currency of the futures on the FTSE Saudi Arabia Index is Saudi Riyals (SAR) and contracts are offered for two consecutive quarters. The size of one contract is five times the value of the index.