Hassana and State Street Global Advisors Sign MoU for Saudi Fixed Income ETF

Deal News | Jan 23, 2025 | Zawya

Hassana and State Street Global Advisors Sign MoU for Saudi Fixed Income ETF

Hassana Investment Company and State Street Global Advisors have executed a Memorandum of Understanding (MoU) to explore collaborative opportunities in the area of Saudi fixed income Exchange-Traded Funds (ETFs). This strategic partnership is aligned with Saudi Arabia’s Vision 2030 initiative, aimed at transforming the Kingdom’s economy. The collaboration seeks to integrate the extensive resources and expertise of both firms to broaden the investment opportunities available in Saudi Arabia's evolving capital market. With Hassana’s substantial asset management capabilities and SSGA’s pioneering role in ETF investment, the partnership intends to furnish international investors with enhanced access to the Kingdom’s financial market, thereby strengthening its global investment appeal. The MoU was inked by Ahmed W. Alqahtani of Hassana and Ann Prendergast, along with Majed Al Hassoun of State Street. Hassana is one of the largest pension fund managers in the world, overseeing assets worth SAR 1.2 trillion, while State Street Global Advisors, a global investment leader, manages over USD 4.72 trillion in assets, including a significant portion in ETFs. Both executives expressed enthusiasm for the collaboration, emphasizing its potential to further develop Saudi financial markets through innovative investment solutions.

Sectors

  • Financial Services
  • Investment Management
  • Asset Management

Geography

  • Saudi Arabia – This is the central geographic focus as the initiative is to develop Saudi fixed income ETFs complemented by Saudi Arabia’s Vision 2030 goals.
  • United States – State Street Global Advisors is based in the US and plays a significant role in the partnership.

Industry

  • Financial Services – The collaboration involves creating investment vehicles like ETFs, which are a core component of the financial services sector.
  • Investment Management – Hassana and State Street Global Advisors are both prominent players in investment management, focusing on managing large-scale assets.
  • Asset Management – Both Hassana and State Street are asset managers focusing on ETF products, a major area within asset management.

Financials

  • $4.72 trillion – State Street Global Advisors' total assets under management as of December 31, 2024.
  • SAR 1.2 trillion – Assets under management by Hassana Investment Company, roughly $300 billion USD.

Participants

NameRoleTypeDescription
Hassana Investment CompanyPartnerCompanyAn investment manager for the General Organization for Social Insurance in Saudi Arabia, managing one of the largest pension funds globally.
State Street Global AdvisorsPartnerCompanyA leading global asset manager, part of State Street Corporation, known for innovation in ETFs and managing substantial assets globally.
Ahmed W. AlqahtaniCIO of Regional Markets at HassanaPersonChief Investment Officer of Regional Markets at Hassana, involved in signing the MoU.
Ann PrendergastHead of EMEA for SSGAPersonHead of the Europe, Middle East, and Africa region for State Street Global Advisors, involved in the MoU.
Majed Al HassounCEO of State Street Saudi Arabia Financial SolutionsPersonCEO overseeing State Street's operations in Saudi Arabia, part of the agreement signing.