User Tools

Site Tools


saudi

Saudi Stock Exchange (TADAWUL)

The Saudi Exchange conducts listing and trading in securities for local and international investors. The Exchange is instrumental to achieving the long-term growth plans for the Group and providing market participants with attractive and diversified investment opportunities.

Homepage

Currency: Saudi Riyal (SAR)

Holiday Calendar

Market Overview

  • Global Standing: Tadawul is the 11th largest stock market globally by market capitalization, valued at approximately $2.93 trillion. It stands just below the Toronto Stock Exchange and above the Deutsche Börse AG.
  • Trading Volume: The exchange boasts an average daily trading volume (ADTV) of around $2 billion USD, offering substantial liquidity.
  • Investor Composition: With 70% retail participation, the market dynamics can be quite different from exchanges dominated by institutional investors, often leading to unique trading opportunities.

Market Characteristics

  • High Volatility Among Mid-Caps: Mid-cap stocks on Tadawul exhibit high volatility, presenting both opportunities and risks for traders looking to capitalize on price movements.
  • Tight Spreads: The market features tight bid-ask spreads, allowing for efficient entry and exit from positions.
  • Sector Diversity: Tadawul offers broad sector coverage, including:
    • Financials
    • Industrials
    • Energy
    • Real Estate
    • Consumer Goods
    • Cyclicals

This diversity enables traders to implement sector-specific strategies and react to news and events across various industries.

Why Trade on Tadawul?

  • Liquidity and Accessibility: High trading volumes and tight spreads make it easier to execute large orders without significant price impact.
  • Diversification: Access to sectors and companies not widely available on other exchanges allows for portfolio diversification.
  • Event-Driven Opportunities: The market’s broad sector coverage offers numerous opportunities to trade on news and events, enhancing potential returns.

Trading Hours & Sessions

Session Local Time (AST) US Eastern Time (ET) Allowable Order Types
Pre-Open Session 9:30 AM - 10:00 AM 1:30 AM - 2:00 AM Limit orders can be placed, modified, or cancelled.
Market Open Session 10:00 AM - 3:00 PM 2:00 AM - 7:00 AM All types of orders are accepted including market and limit orders.
Closing Auction Session 3:00 PM - 3:10 PM 7:00 AM - 7:10 AM Limit orders, market orders are used for setting the closing price.
Trade-at-last Session 3:10 PM - 3:20 PM 7:10 AM - 7:20 AM Permitted: Limit orders, Fill-or-Kill (FoK). Not permitted: Market orders.
  • Please note the following: Trading takes place from Sunday to Thursday, but Real Trading only supports Monday to Thursday.

Order Types

  • Limit Day
  • Limit Day Reserve
  • Limit IOC
  • Market Day
  • Market IOC

Lot Sizes

  • Minimum Lot Size: 1 Share

Tick Sizes

Price Tick Size
⇐10 0.01
⇐24.98 0.02
⇐49.95 0.05
⇐99.90 0.1
>=100 0.2

Auction Mechanisms

Open Auction

Auction based on the bids and asks entered during the Opening Auction. The market will open and uncross on a variable basis between 10:00:00am and 10:00:30am every day.

Close Auction

Auction based on the bids and asks entered during the Closing Auction. Market closing time is random. The market will close and uncross on a variable basis between 15:00:00 and 15:10:30 every day.

  • The closing auction is used to calculate the closing price of the Main Market and Nomu – Parallel Market.
  • The closing price is set during the closing auction which takes into consideration buy and sell orders during the auction to form a fair price, as currently applied in the opening auction.
  • The equilibrium price is set during the closing auction, which lasts for 10 minutes.
  • The closing auction starts after continuous trading (Market Open session) at 3:00PM to 3:10PM
  • The closing price will be determined at the closing auction uncross everyday randomly between 3:10:00 and 3:10:30.
  • The closing price is set based on normal trades only, which are trades above SAR 15,000 in the Main Market and SAR 2,500 in Nomu – Parallel Market. If there are no normal trades during auction, the closing price is the last traded price (LTP) during continuous trading. If there are no trades during the day, the closing price is the previous day’s closing price.
  • During the closing auction, market orders are displayed at the top of the order book as best bid / best ask, without price.
saudi.txt · Last modified: 2024/11/05 11:01 by hammed