The Saudi Exchange announced on September 20, 2026, that it had approved Albilad Capital as market maker for three exchange-traded funds, with market-making activity commencing on September 21, 2026. The approval covers the Albilad Saudi Sovereign Sukuk ETF (9403), the Albilad MSCI Saudi Growth ETF (9408), and the Albilad MSCI Saudi Equity ETF (9412), under Tadawul's Exchange Traded Funds Market Making Framework, as detailed in Nukoud's “Tadawul tightens the plumbing for ETFs with a new market-making framework.”
Market making requires the designated firm to maintain buy and sell quotes for a fund, subject to specified presence, order size, and spread requirements. The framework is designed to support liquidity and facilitate trading in ETF units.
Tadawul Market-Making Requirements for Albilad ETFs
Tadawul sets identical market maker obligations for each of the three funds. Albilad Capital must maintain a minimum order presence of 80 percent, a minimum order size of SAR 50,000, and a maximum bid-ask spread of 2 percent on all three ETFs.
Which Albilad ETFs Are Covered by the Tadawul Approval?
The Albilad Saudi Sovereign Sukuk ETF, ticker 9403, tracks the Albilad IdealRatings Saudi Sovereign Sukuk Index and invests in Saudi-riyal-denominated sovereign sukuk with three months or more to maturity.
The Albilad MSCI Saudi Growth ETF, ticker 9408, began trading on Tadawul on January 31, 2024, and tracks the MSCI Saudi Arabia SMID Islamic Growth Select Index. The fund provides exposure to small- and medium-sized Saudi companies that meet its growth-factor criteria.
The Albilad MSCI Saudi Equity ETF, ticker 9412, began trading on October 21, 2025, and tracks the MSCI Saudi Arabia Domestic Total Market Islamic M-Series Index. It provides exposure to more than 250 Saudi companies across small-, medium-, and large-cap segments, including companies listed on the Main Market and the parallel market, Nomu.
How Market Making Works for Albilad ETFs
A market maker required to maintain buy and sell quotes subject to specified presence, order-size, and spread requirements can support liquidity and facilitate trading in ETF units. For an ETF focused on Saudi small- and mid-cap growth companies, consistent two-sided quoting can be particularly relevant to investors seeking to enter or exit positions efficiently. For the sukuk ETF, consistent quoting can support trading in an income-oriented allocation within a portfolio. Tadawul's announcement does not state an expected effect on spreads or trading volume, so any improvement should be confirmed with post-launch data rather than assumed.
What to watch next
Since market making only began on September 21, 2026, there is not yet enough post-launch history to show its effect. Worth tracking over the coming weeks are bid-ask spreads on each fund relative to the 2 percent maximum, trading volume compared with prior levels, and the premium or discount of each ETF's market price to its NAV or iNAV, which can indicate how closely the traded price tracks the fund's underlying value.
