Margin trading facilities drop 11% in Q1 2018

29/05/2018 Argaam Special

 

The total trading facilities granted by brokerage firms to clients on the Saudi Stock Exchange (Tadawul) fell 11 percent to SAR 8.97 billion in the first quarter of 2018, compared to SAR 10.05 billion in the year-ago period, the Capital Market Authority (CMA) said in a report.

 

The number of clients receiving facilities decreased 5 percent to 1,821, down from 1,910 clients in Q1 of 2017.

 

On the other hand, the used financing rose 11 percent to register SAR 6.54 billion in Q1 of 2018, compared to SAR 5.9 billion in the same period of the previous year.

 

Moreover, used financing from the available margin facilities surged 72.9 percent year-on-year in the first three months of 2018, up from 58.7 percent.

 

Value of Margin Facilities (SAR mln)

Period

Q1 2017

Q1 2018

Variation

No. of investors

1,910

1,821

(5%)

Available margin facilities (SAR mln)

10,047

8,970

(11%)

Used financing

(SAR mln)

5,895

6,542

+11%

Used financing (%)

58.7 %

72.9 %

--

 

On a quarterly basis, the number of clients receiving facilities increased 9 percent from Q4 2017. Available margin facilities increased 9 percent, while used financing grew 19 percent in Q1 2018.

 

Margin Facilities Since Q1 2016 (SAR mln)

Period

Number of investors

Available margin facilities (SAR mln)

Used financing

(SAR mln)

Q1 2016

2,752

21,697

11,022

Q2 2016

2,575

17,530

10,177

Q3 2016

2,289

15,182

9,003

Q4 2016

2,021

11,776

6,848

Q1 2017

1,910

10,047

5,895

Q2 2017

1,803

7,559

4,880

Q3 2017

1,642

7,245

4,736

Q4 2017

1,666

8,206

5,516

Q1 2018

1,821

8,970

6,542

Comments {{getCommentCount()}}

Be the first to comment

loader Train
Sorry: the validity period has ended to comment on this news
Opinions expressed in the comments section do not reflect the views of Argaam. Abusive comments of any kind will be removed. Political or religious commentary will not be tolerated.