Economic Overview - Saudi Arabia is the 19th largest economy globally, with a GDP exceeding $1 trillion in 2023 and a CAGR of 41% from 2015 to 2023[26] - The oil sector contributes over 33% to GDP and accounts for more than 60% of government revenue, benefiting from recent high oil prices[29] Growth Potential - The "Vision 2030" initiative aims to diversify the economy, reducing reliance on oil and promoting private sector development, with non-oil GDP reaching 50% in 2023[35] - IMF forecasts indicate that Saudi Arabia's GDP growth will surpass that of major economies like China and the US by 2025[7] Demographic Advantage - Saudi Arabia has a median age of 32 years in 2023, compared to nearly 40 years in China, indicating a younger population that supports economic growth[36] - The population structure shows 45% under 30 years old, providing a significant demographic dividend[36] Investment Opportunities - The FTSE Saudi Arabia Index has outperformed major indices, with a cumulative return of 130% since its inception, significantly higher than MSCI Emerging Markets (16%) and MSCI Asia Pacific (56%) indices[39] - The index is heavily weighted towards financials (42%), materials (17%), and energy sectors, positioning it well for economic growth[45] Fund Information - The Huatai-PineBridge Southern Dongying Saudi Arabia ETF (code: 520833) will be launched on June 24, 2024, tracking the FTSE Saudi Arabia Index[72] - The fund aims to maintain a tracking error of less than 0.35% daily and 4% annually, focusing on closely mirroring the index's performance[73] Risk Factors - Potential risks include unexpected macroeconomic downturns, geopolitical tensions, and fluctuations in the global economic environment[84]