Valuable Capital Financial Company (VCFC), a joint venture between the China-backed Valuable Capital Group (VCGL) and eWTP Arabia Capital, received the go-ahead to provide dealing, advisory, and custody services in Saudi Arabia.
Valuable Capital venturing into Saudi Arabia’s securities market
This allows VCFC to expand into the Saudi Arabian financial sphere and reach a potential six million individual investors. The company also indicated that it is seeking further regulatory approval to provide investment banking, asset management, and mutual funds.
During a soft launch between 24 and 26 October at the Future Investment Initiative Forum in Riyadh, the company plans to introduce its offerings and new mobile app that is set to open to the public in November. In the South China Morning Sun report, Jess Cheung, co-founder and chief executive officer of VCGL, commented:
It is the first brokerage house in Saudi Arabia to have developed its systems entirely in-house, from back end to front end.
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Saudi Arabia’s increasing economy and strong markets have fewer competitors than a financial hub such as Hong Kong. Cheung went on to say:
We are the 32nd brokerage firm in the exchange. When it comes to certain services, they have never existed in [Saudi Arabia] yet.
Compared to the 600 existing competitors in Hong Kong, this expansion appears feasible and strategic.
