Saudi Arabia approves Chinese broker VCGL as first and only to conduct dealing, advising, custody

Valuable Capital Financial Company (VCFC), a subsidiary of the second largest online broker by total trading volume in Hong Kong, Valuable Capital Group Limited (VCGL), has secured initial licenses from the Capital Market Authority (CMA) of Saudi Arabia. 

The brokerage will be the very first and only licensed corporation in Saudi Arabia to conduct Dealing, Advising and Custody services.

VCFC will start its operation once it receives further approval from the country’s financial watchdog, which is executing the kingdom’s Vision 2030 FinTech strategy.

Valuable Capital to launch mobile app Sahm in Saudi Arabia

Jess Cheung, Co-founder & CEO of VCGL, said: ‘We have witnessed impressive FinTech innovation and robust capital market growth in the MENA region, especially in the Saudi marketplace, which has great talent and abundant market liquidity.”

The broker sees immense potential in Saudi Arabia’s financial and trading market and an excellent opportunity for regional and global investors, with the number of individual investors in the Saudi Stock Exchange (Tadawul) reaching six million by the end of Q1, 2022.

VCGL will provide users with integrated, cross-market, and multi-asset investment services through its trading platform and plans to launch a new mobile app called ‘Sahm’ in Saudi Arabia.

VCGL operates in HK, China, Singapore, Australia, NZ, and United States

The Chinese broker is a Hong Kong-based provider of online brokerage, asset and wealth management, and equity financing services to over millions of retail individuals, institutional, and corporate clients.

Since September 2020, over $19.1 billion in bonds have been issued and underwritten by VCGL, which has also connected over 500 corporations with institutional investors, according to CIC reports.

VCGL’s HK subsidiary, Valuable Capital Limited (VCL), is a licensed corporation holding type 1, 2, 4, 5, and 9 licenses regulated by the Hong Kong SFC, which provides users with integrated, cross-market, and multi-asset global investment service.

According to CIC reports, it is the second largest pure-play online broker by total trading volume and MAU in the HK securities market in 2020, with the highest annual compound growth rate of retail deposits from 2018 to 2020.

The group is established in Hong Kong SAR, Mainland China, Singapore, Australia, New Zealand, and the United States, the latter of which is regulated by the United States Securities and Exchange Commission (SEC) and holds membership in the Financial Industry Regulatory Authority (FINRA) and the Securities Investor Protection Corporation (SIPC).

The Saudi operation shares ownership with eWTP Arabia Capital (eWTPA), a growth-stage venture fund based in Saudi Arabia and China that is backed by marquee investors, including the sovereign wealth fund of Saudi Arabia, Public Investment Fund (PIF).