The Saudi equity market is set for a boost as it heads for possible inclusion in MSCI’s emerging market index in 2018.
“In the meantime, active investors could reap early gains as corporate earnings should start increasing this year,” said Shakeel Sarwar, head of asset management at SICO BSC (c).
He added: “The market has moved sideways in the first half of 2017 after the spectacular 30 percent rally late last year. However, the latter part of the second half could again be an interesting period for the market. The key catalysts for another rally are going to be FTSE and MSCI related developments. With FTSE set to announce its country classification review in September, market participants estimate that it can result in regular inflows from September onwards.
“MSCI upgrade is expected next year but positive news flow on this front will keep coming and sustain the interest of active fund managers in the market. Large caps which are expected to be the biggest beneficiaries of such flows are trading at attractive multiples and should do well in general versus the overall market going forward.”
Sarwar expects corporate earnings to start recovering during the second half of the year, supported by better oil prices and on-going economic reforms.
SICO expects many stocks to benefit from cyclical trends and further structural reform efforts.
SICO Kingdom Equity Fund invests exclusively in Saudi equities. Against the Tadawul return of 3 percent during the first six months of 2017, the fund has returned 7.6 percent during the same period including a cash dividend of 5 percent. The fund has posted returns of over 55 percent in the last 5 years compared to a modest 10 percent return for Tadawul during this period.
“With consumption relatively subdued, we are looking at well-managed companies that will benefit directly from a more diverse, more open economy as the Kingdom moves away from its reliance on petroleum,” said Sarwar.
He added: “Falling oil prices were tough on the domestic economy over the last three years. Astute firms have cut costs and gained market share. There are also selective opportunities in the survivors — the best-run telco and consumer stocks. A round of banking mergers should benefit investors too.”
Investors anticipate Saudi market bonanza
Investors anticipate Saudi market bonanza
ALJ Motors claims top honors at PR Arabia awards
Abdul Latif Jameel Motors, the authorized distributor of Toyota vehicles in Saudi Arabia since 1955, swept four awards at the 12th edition of the PR Arabia National Auto Award ceremony.
Under the patronage of the Saudi Automobile and Motorcycle Federation, the event was organized by PR Arabia on Nov. 13 at Jeddah Hilton. These awards honor outstanding achievements in the Saudi mobility sector and recognize leaders who set high standards in product quality, guest services, and innovation.
“Abdul Latif Jameel Motors’ achievement of four awards is a testament to its dedication to excellence and its commitment to meeting the guests’ evolving expectations across the Kingdom,” the company said in a statement.
Among the awards, the Best Car Distributor award stands as a notable recognition of Abdul Latif Jameel Motors’ deep-rooted commitment to guest satisfaction and maintaining industry-leading standards. “Over nearly seven decades, the company has not only earned the trust of guests across Saudi Arabia but has also set the bar high for innovation and service quality in the market.”
Additional awards included Best Reliable Car, which celebrated the Toyota Land Cruiser 70, for its enduring performance and reliability, solidifying its reputation as a trusted favorite among drivers throughout Saudi Arabia. In parallel, the iconic Toyota Prado, known for its versatility and superior off-road capabilities, was crowned in the Best Medium SUV category.
Furthermore, Jameel Motorsport was honored with the Best Motorsports Initiative award, highlighting Abdul Latif Jameel Motors’ significant contributions to advancing motorsport in Saudi Arabia. Jameel Motorsport has been playing a pivotal role in shaping the future of motorsport both within the Kingdom and on a global scale by providing support for high-profile sporting events and actively engaging in the discovery and cultivation of promising young talent.
Mazin Ghazi Jameel, managing director of Toyota marketing operations, Abdul Latif Jameel Motors, said: “Over the years, Abdul Latif Jameel Motors has become synonymous with reliability and trust in the Saudi mobility sector. Our journey has always been about fostering trust, reliability, and excellence in every interaction and service we offer. These awards reaffirm our commitment to delivering top-quality vehicles and exceptional experiences, as well as empowering local talent within Saudi Arabia’s dynamic mobility landscape.”
Munir Khoja, managing director of Jameel Motorsport and marketing communications at Abdul Latif Jameel Motors, said: “For almost three decades, we’ve been driven by a vision to uplift the motorsport sector in Saudi Arabia and cultivate a vibrant ecosystem that inspires passion, innovation, and ambition among future generations. This support also extends to esports, which we see as an essential part of the future of motorsport in the Kingdom. We are proud to be at the forefront of this journey, empowering young talent and championing motorsport excellence.”
This award reflects our commitment to pushing boundaries, supporting Saudi Arabia’s dynamic motorsport community, and setting new standards in the industry.”
Established in 2012, the PR Arabia National Auto Award celebrates the achievements and innovations that define the mobility sector, setting a standard that highlights the best practices and contributions that elevate service and quality in the market.
stc champions youth initiatives at Misk Global Forum
stc Group participated in the Misk Global Forum, the region’s largest youth forum. As the event’s official digital enabler, stc Group showcased the inspireU business accelerator, which supports digital startups across the Kingdom, and the impactU social accelerator, which incubates digital startups focusing on key areas relating to Saudi Arabia’s sustainability.
The Misk Global Forum, an annual flagship event hosted by Misk Foundation — a nonprofit organization established by Crown Prince Mohammed bin Salman, is dedicated to empowering and connecting young leaders, innovators, and entrepreneurs globally. Taking place in Riyadh at Malfa Hall on Nov. 18 and 19, the forum brought together more than 150,000 attendees to collaborate and activate positive global change through innovation. This year’s theme, “By Youth, For Youth,” highlighted the importance of youth-led initiatives, showcasing how young people can motivate and support one another to drive growth and innovation.
This year, stc Group featured a dedicated space for inspireU, the stc Group business accelerator, which offers support to select high-potential digital startups with resources and mentorship in their early stages of establishment.
stc Group also spotlighted their social accelerator, impactU. The program offers training and mentorship to entrepreneurs that align with stc’s Sustainable Development Goals. impactU brings more than 40 mentors to train 15 incubated digital startups selected from a competitive application process, offering successful candidates a financial grant of up to SR100,000 ($26,640), free access to services from stc’s partners, as well as the opportunity to attend workshops and exhibitions.
Together, impactU and inspireU highlight stc Group’s commitment to sustainable innovation and entrepreneurship in Saudi Arabia.
The Misk Global Forum has provided a platform for vibrant discussions, the exchange of ideas, and networking opportunities across a range of industries to nurture potential and activate innovation among the youth of Saudi Arabia. stc Group’s strategic partnership as the digital enabler of the forum underscores the group’s commitment to powering youth initiatives to support the Kingdom’s digital transformation in line with Vision 2030 objectives.
HORECA Riyadh, Salon du Chocolat bring the best of hospitality and F & B to Kingdom
The 13th edition of HORECA Riyadh opened on Nov. 25 at Riyadh International Convention and Exhibition Center. The opening ceremony was attended by Mayada Badr, CEO of the Culinary Arts Commission, and Prince Waleed bin Nasser Al-Saud, founder and CEO of Mukatafa, along with several diplomats and top business leaders from across the Kingdom.
Concurrently, the second edition of Salon du Chocolat et de la Pâtisserie also commenced, featuring a unique blend of chocolate and pastry arts, as well as the Saudi Elite Chefs competition. Strategically partnered with the Culinary Arts Commission, the event promises an assembly of elite professionals and international brands through Nov. 27.
This year’s HORECA, the most expansive in its history, extends over 29,000 square meters and hosts more than 400 exhibitors representing 20,000 brands from 48 countries. These are displayed across eight international pavilions, each a showcase of cultural diversity and innovation that defines the modern hospitality landscape.
The inaugural ceremony featured a special tribute to Badr, whose visionary leadership in the Saudi Ministry of Culture’s Culinary Arts Commission has significantly elevated the national culinary arts scene.
The opening day’s events included a range of competitions and demonstrations, including cooking, barista and mocktail competitions, drawing more than 100 skilled participants from around the globe, each eager to impress a panel of international judges.
Salon du Chocolat et de la Pâtisserie comprises more than 40 distinctive events, which include celebrated pastry chefs unveiling their latest creations and sharing insights into emerging trends in the world of chocolate and pastries. Additionally, the exhibition provides an arena for chefs to engage in competitions adjudicated by globally acclaimed chefs.
Adding an intellectual flavor, this year’s event introduced “The Talks,” an engaging series of panel discussions tackling a variety of contemporary issues, led by a cadre of industry leaders.
The Saudi Elite Chefs competition offers a face off between chefs facing novel challenges in Saudi cuisine, judged by a panel comprising Meilleurs Ouvriers de France laureates Philippe Bertrand, Jonathan Mougel, Joseph Viola and Jacques Rolancy.
The two exhibitions provide an ideal platform for expert networking and the forging of strategic partnerships. These events not only reinforce Riyadh’s eminent status as a global and regional hub for the hospitality, and food and beverage industries but also spotlight its dynamic role on the world stage.
Established almost 30 years ago, HORECA, an annual business meeting place, brings together an array of distinguished brands, experts and international personalities from the vibrant worlds of hospitality and food service. Over recent years, HORECA has cemented its strong presence in the GCC, particularly within Saudi Arabia.
Besides Riyadh, HORECA also takes place annually in Jeddah, as well as in Beirut, Kuwait, Amman and Muscat.
SAMINavantia launches new combat system ‘HAZEM Lite’
SAMINavantia, the joint venture between Saudi Arabian Military Industries and the Spanish company Navantia, announced the development of a new combat management system, “HAZEM Lite.” This solution is designed for low and medium warfare vessels, as well as vessels with space restrictions.
This achievement is the result of the efforts of Saudi engineers who worked on developing the new system at SAMINavantia’s Naval Systems Integration and Development Center of Excellence in Saudi Arabia.
The new “HAZEM Lite” system can be used and installed on new ships or integrated into the existing systems of modern vessels. The new system is one of the latest technologies in combat systems, derived from the HAZEM CMS, but specifically tailored for smaller vessels, while maintaining the key features of the original HAZEM system. These include providing an open, scalable, customizable, and interoperable solution that is proven effective and robust.
Dr. Mohammed Al-Qahtani, chairman of SAMINavantia, said: “The new ‘HAZEM Lite’ system is the result of intensive development efforts by Saudi engineers, aimed at designing a simplified version of the advanced combat management solution previously used in the Sarawat-class vessels, by creating smaller platforms with different missions and capabilities. Additionally, ‘HAZEM Lite’ is the first product developed in the Kingdom, addressing the need to enhance the small vessel category. This achievement is part of SAMINavantia’s contribution to localizing over 50 percent of military spending by 2030, one of the key objectives of Saudi Vision 2030, as well as actively participating in the development of skilled technical workforce capabilities in Saudi Arabia and providing world-class combat system solutions.”
The achievement also aligns with the efforts of the General Authority for Military Industries to localize military spending in the Kingdom.
SAMINavantia’s efforts contribute to enhancing the readiness of the Royal Saudi Naval Forces, the Border Guard, and other local or regional clients, in line with the strategic objectives of Saudi Vision 2030. This is achieved by launching a new era of advanced and effective defense capabilities to meet current and future challenges, while strengthening the national military industrial base.
Najm wins ‘Best Call Center’ award at Saudi CX Awards
Najm for Insurance Services has been awarded the prestigious “Best Call Center” award in the category of companies with more than 1,000 employees, at the Saudi Customer Experience Awards ceremony, held on Nov. 13 in Riyadh. The event was attended by a group of business leaders, prominent figures, and professionals from across the Kingdom’s government, private, and nonprofit sectors.
This recognition is a testament to Najm’s ongoing efforts in enhancing its call center and elevating the level of service it provides for vehicle insurance beneficiaries across the Kingdom. Handling more than 3 million calls annually, Najm’s call center achieves record response times through a range of electronic channels, contributing to a high customer satisfaction rate of 85 percent. Overall, Najm provides more than 35 million services annually across all its channels with a service level of 99 percent.
Mohammed Y. Al-Shehri, CEO of Najm, said: “Winning the gold award and achieving first place for Best Call Center in the Kingdom not only validates our efforts but also motivates us to continue innovating and striving to enhance customer satisfaction.”
Al-Shehri highlighted Najm’s commitment to creativity, innovation, and the adoption of modern technologies to enrich the customer experience, streamline processes, and drive digital transformation across its operational processes and technical systems, ensuring fast response times and high-quality services for its customers.
“This accomplishment reflects the company’s strategic digital transformation, with all operations now managed through advanced AI-supported systems. Our automation rate for accident procedures has reached 95 percent, marking a qualitative leap in service efficiency,” he added.
At the Saudi Customer Experience Awards ceremony, organized by the Saudi Customer Experience Association and its partners, Ajil Al-Jarba, vice president of marketing and sales at Najm, made a presentation on digital transformation and customer experience.
Al-Jarba highlighted the growing importance of exceptional customer experiences, saying: “In today’s world, data-driven insights enable companies to create personalized, engaging experiences, making customer experience fundamental to economic and social development. Digital transformation is essential for companies seeking excellence and aiming to improve customer experiences by offering innovative and digital services.”
He added: “Digital transformation is a key element of Najm’s strategy, which has led to a significant advancement in how services are delivered, and customer experiences are improved on various levels, whether for individuals or partners. Our transformation aligns with Vision 2030 objectives, including the Quality of Life Program and the Financial Sector Development Program. Therefore, Najm has restructured its strategy, adopting the best-in-class professional and marketing standards, which have contributed to empowering the insurance sector and improving service quality for policyholders and beneficiaries, especially vehicle owners.”
The Saudi Customer Experience Awards is a platform that celebrates excellence in customer service across the Kingdom. This year, Najm competed in 27 different categories.
