Generally, investment companies, corporations, business trusts, or partnerships invest pooled capital of individual investors in financial securities. These companies invest the money they gather from various investors and invest it. Each investor receives a share of the profits or losses in the process. Asset managements invest their capital on stock exchanges, bonds, real estate, and private equity. Individual investors seek the help of asset management to use their expertise and lower their chances of loss as well as maximize their returns. The performance of an investment company is based on the securities they have invested in and the value of their owned assets.
In the Middle East, some countries such as Egypt established their financial markets earlier than some countries in the Arab region. Alexandria and Cairo’s stock exchanges were established around 1902 in Egypt, and the Casablanca Stock Exchange was formed in 1929 in Morocco whereas, the Casablanca Stock Exchange was only formed in 2007. Still, Saudi’s Tadawul is now the biggest stock market in the Arab world, with the value of roughly all the stocks on all other exchanges in the region combined.
The Capital Markets Authority in Saudi Arabia was established in 2003, which was the milestone to forming the investment banking and asset management industry. In Forbes Middle East’s top 30 Biggest Asset Managers 2021, the first 16 entries are from Saudi Arabia, followed by the UAE with five, and Bahrain and Egypt with three each. The companies in this list are valued based on their asset management from December 2020 till July 2021.
Established in 2007, NCB Capital is the investment banking and asset management division of the National Commercial Bank of Saudi Arabia. NCB. Capital provides financial security solutions and investment services as the leading asset manager in Saudi Arabia, with over $50.4 billion assets under management. Rashed Sharif is the current CEO of NCB. Capital and the head of local holding investments at Saudi’s Public Investment Fund from 2017 to 2020.
Investcorp was first established in 1982 as a global private equity firm in Bahrain. Investcorp is an investment management company currently dealing in private equity, real estate, absolute return investments, infrastructure, credit management, and strategic capital. With $35 billion assets under management. Rishi Kapoor & Hazem Ben-Gacem are the current CEOs of Investcorp.
Established in 2008 in Saudi Arabia, Riyad Capital is the investment arm of Riyad Bank. Riyad Capital offers asset management, wealth management, investment banking, and brokerage services. With a 35% increase, Riyad Capital recorded $18 billion in assets under management in 2020 and is hoping for more increase since signing an agreement with BNP Paribas Securities Services in April 2021. Sabty Sulaiman Al Sabty is the current CEO of this company.
Alinma Investment, the investment arm of Alinma Bank, was first established in 2009 in Saudi Arabia. Alinma Investment provides security brokerage and financial advisory services as well as Islamic Shariah-compliant corporate financing products. Currently, at the same rating as Riyad Capital, Alinma also has $18 billion assets under management. This is a 9% increase in assets for the company from 2019 to 2020. This company has recently signed a deal with the Retail Real Estate Company to develop a commercial complex in Riyadh. Mazin Baghdadi is the current CEO and Managing Director of Alinma Investment.
Wafa Gestion was established in 1995 in Morocco by Attijariwafa bank and French asset management company Amundi. Wafa Gestion provides financial solutions such as money market UCITS, bonds, equities, commodities, and investment solutions for institutional and corporate clients. This company currently has $14.4 billion assets and has been considered the most significant investment management company in Morocco for five consecutive years, with 25% market shares by the end of 2020. Reda Hilali is the CEO of Wafa Gestion investment company.
SHUAA Capital was first established in 1979 in UAE as Arabian General Investment Corporation, but its name was changed to SHUAA in 2001. The company went through a major merger with Abu Dhabi Financial Group (ADFG) in 2016. SHUAA is one of the leading investment management companies in the Middle East with a strong performance and pioneering approach in real estate funds and projects, investment portfolios, and funds in the regional equities, fixed income, and credit markets. The company has $14 billion in assets under management in 2020 and experienced a 2% increase in march 2021. Jassim Alseddiqi is the acting CEO of this company.
Founded in 2008, Al Rajhi Capital is the investment banking arm of Al Rajhi Bank in Saudi Arabia. This company is a leading investment company that has launched the Al Rajhi MSCI Saudi Multi-Factor Index Fund. Al Rajhi Capital offers brokerage, asset management, and investment banking to its customers. Al Rajhi Capital had $13.3 billion in assets under management in 2020, a 19% increase from 2019. This company was a local book-runner and underwriter for Saudi Aramco’s record IPO with three billion shares in 2019. Waleed AlRashed AlHumaid is the CEO of Al Rajhi Capital.
Kamco Investment is a subdivision of KIPCO Group, founded in 1998 in Kuwait. They offer a range of services in three segments of financial services, asset management as well as strategic investments, and corporate overheads. With $13 billion assets under management, Kamco Invest is one of the leading non-banking investment management companies in Kuwait. The acting CEO of this company is Faisal Mansour Sarkhou.
Established in 1999 in Bahrain, GFH. Financial Group is a dynamically diverse financial investment bank. They offer investment management, commercial banking, real estate development, and treasury & proprietary investments. GFH. Financial Group recorded $12 billion assets under management and will aim for more in the leading years by using their deep market insight, innovative thinking, and investment intelligence. Hisham Alrayes is the current CEO of this group.
Jadwa Investment was first established in 2006 in Saudi Arabia. This investment group provides asset management, financial advisory, mergers and acquisitions, brokerage, and investment planning services. Jadwa Investment saw a 39% increase in 2020 with $8.6 billion in assets under management. The Current C.E.O. of Jadwa, Tariq Al Suidairy, first joined the company in 2011 as head of the private equity and investment banking division.
Leave a Reply ·