By: Majid Al-Shabib
Riyadh – Mubasher: The Saudi Stock Exchange (Tadawul) has set the level of fluctuation in its secondary market at 20%, as compared to 10% on the main stock exchange, sources told Mubasher on Thursday.
Trading on the secondary market will be limited to funds, companies and licenced and authorised individuals, the sources revealed, indicating that individuals may trade after receiving the necessary authorisations from the relevant bodies.
The level of ownership may not exceed 5% per investor on Tadawul's secondary market, the sources revealed to Mubasher.
New listings for large companies or those with a strong financial position will be carried out on the main market, while the matter of which company is to be listed on which market will depend on the evaluation of the authorised bodies.
In a statement released Thursday, Tadawul said that the minimum market capitalisation for companies listed on the secondary market was set at SAR 10 million as opposed to SAR 100 million for companies listed on the main market.
The stock exchange held several workshops to introduce the new equity market that will be established by the beginning of 2017.
Translated by: Nada Adel Sobhi
