Albilad Capital looks to offer sharia-compliant short selling

Albilad Capital is trying to find a sharia-compliant structure for short selling, so it can be launched before Q3 this year, the head of asset management, Sultan Al Nugali, told Argaam on the sidelines of Euromoney Conference.

“Short selling is an important tool in asset management as it creates strategies to retain capital, while the high ratings on some stocks will allow us to use this tool for the best interest of our investments,” Al Nugali said.

Short selling was allowed when the Saudi Stock Exchange (Tadawul) switched to the T+2 settlement cycle on April 23, Argaam reported earlier.

As for his expectations on the real estate investment traded funds (REIT), he said that most of the Saudi-listed REITs were oversubscribed more than five times, which indicates their sustainability, as big investments target these funds.