TL;DR: If you hold a valid Iqama and the right ID, you can open an account with an Authorized Person (broker), obtain your depository account via Edaa, and trade shares, REITs, ETFs and sukuk ETFs on the Saudi Exchange. Non‑resident foreigners use the QFI program (institutional) or market instruments permitted by CMA. Keep clean KYC, a two‑bank cash flow, and a 12‑file evidence folder so compliance checks never stall your transfers.
The short answer (what expats can invest in, right now)
Resident expats with Iqama can invest on the Saudi Exchange via Authorized Persons (local brokers) and a depository account at Edaa. Available instruments include shares, REITs, ETFs, and sukuk ETFs/funds.
Non‑resident foreigners typically access listed securities via Qualified Foreign Investor (QFI) rules (institutional) or other CMA‑permitted channels.
Global investing remains available through international brokerages and banks, subject to your home country’s rules and cross‑border KYC/CRS reporting.
Principle: Prefer regulated rails (Saudi Exchange + Edaa) for local exposure; use global accounts for diversification that isn’t offered domestically. Keep tax/reporting in mind from day one.
Eligibility — residents vs non‑residents (and the documents you’ll show)
Residents (non‑GCC nationals): The Saudi Exchange’s investor onboarding specifies Iqama + passport for non‑GCC individuals when opening an investment portfolio with a broker. Keep scans ready and names spelled exactly as in your passport. Non‑resident foreigners: Access is through the QFI framework for qualifying institutions (funds, asset managers, etc.). If you’re an individual based abroad, use global funds/ETFs that hold Saudi assets or a compliant structure your advisor approves.
Document hygiene for residents: Iqama, passport, proof of address (Ejar/utility), employer letter or payslips (some brokers ask), and your IBAN certificate. Create one PDF zip and keep filenames consistent.
Opening a local brokerage + Edaa depository: step‑by‑step
1) Pick your Authorized Person (broker). Shortlist two or three brokers and compare: onboarding flow, app quality, fees/FX, research, and customer support. Confirm they are a Member/Custody Member of Edaa and a member of the Saudi Exchange.
2) KYC & account application. Upload Iqama + passport (and address proof if requested). Keep your name order consistent with your passport everywhere (Edaa, broker, bank).
3) Edaa depository account. Your broker initiates the Center Account with Edaa (the Saudi Securities Depository Center), so your holdings can settle and be safely recorded. You’ll later access consolidated reporting via Tadawulaty (Edaa’s investor portal).
4) Bank funding. Fund your brokerage from a Saudi IBAN in your name. Start with a small test transfer, then your main allocation. Keep bank slips (PDF) as evidence for compliance checks.
5) Tadawulaty setup (Edaa). Register for Tadawulaty to receive consolidated reporting, dividend entitlement notifications, and to see corporate actions. Bookmark it and store your login in a password manager.
6) Small dry‑run. Place a tiny test order (buy/sell) to check order routing, confirmations, and settlement postings. Export confirmations for your folder.
Pro move: Keep a primary Saudi bank for salary and a secondary for savings/funding. If one bank runs a review, your other bank keeps life moving.
Trading basics on the Saudi Exchange: orders, T+2, corporate actions
Order types & hours: Market/limit orders during the exchange’s trading sessions (check your broker for exact cut‑offs).
Settlement: The Saudi market follows a T+2 securities settlement cycle (trade date + 2 business days), aligning with global practice. That gives time to verify transactions and handle errors. Cash settles alongside securities.
Corporate actions: Edaa/Tadawulaty issues corporate action entitlements (dividends, rights issues, splits). Keep broker emails + Tadawulaty notices together, and export annual statements for your tax file.
Checklist before first trade
App is installed and OTPs work.
Test order completed and settled.
You can see your position in Tadawulaty and at your broker.
Bank transfer back to your current account works (test a small withdrawal).
REITs 101 — listed real‑estate funds (income + diversification)
What they are: Real Estate Investment Traded Funds (REITs) listed on the Saudi Exchange that hold portfolios of income‑producing properties and distribute cash to unitholders per fund terms. They’re regulated under CMA fund regulations/instructions, with disclosures and periodic reports.
Why expats use them:
Income focus: Periodic distributions (not guaranteed), often used to balance an equity‑heavy portfolio.
Diversification: Access to multiple properties and operators via one listed unit.
Liquidity: Buy/sell like a stock during market hours.
How to evaluate a REIT (quick filter):
Asset mix & lease terms: sectors, WALE (weighted average lease expiry), occupancy.
Gearing & funding: debt terms and covenants; interest/profit cost sensitivity.
Manager quality & fees: track record, related‑party safeguards.
Unit economics: distribution history, coverage, and any revaluation movements.
Documents to read: factsheet, financials, board announcements, and auditor’s notes.
Practical habits: Keep distribution notices and Edaa/Tadawulaty entitlement PDFs in your evidence folder, and reconcile with your broker’s cash ledger each month.
ETFs & sukuk ETFs — broad exposure with one click
What they are: Exchange‑traded funds listed on the Saudi Exchange that track Saudi or international themes: equity baskets, government sukuk, sector indices, and even gold products. Some ETFs may provide regional or cross‑listed exposure via CMA approvals.
Why expats use them:
Diversification & simplicity: one trade for many holdings.
Cost transparency: total expense ratios stated in disclosures.
Shariah options: multiple ETFs aim to screen holdings and/or provide sukuk exposure.
How to choose:
Index and methodology: what’s in the basket and how it rebalances.
Liquidity & spreads: look at average spreads, market‑maker support, and indicative NAV (iNAV) on the ETF page.
Tracking & fees: compare fact‑sheets; avoid duplicate exposure across your portfolio.
Operational details: settlement, distributions (accumulating vs distributing), and tax treatment at home.
Shariah‑aligned investing — screens, sukuk, discipline
Screens: Many Saudi funds and ETFs apply Shariah screens (business activity and financial ratio thresholds). Read the methodology to understand treatment of cash, debt, and non‑compliant income purification.
Sukuk exposure: Government or corporate sukuk ETFs/funds provide fixed‑income‑like components that may be Shariah‑compliant.
Discipline: Avoid leverage you don’t fully understand; read offering documents; confirm how cash management works (murabaha, wakala).
Global accounts (offshore brokerages) — when and how they fit
Why use them: Access US/EU/Asia markets, factor ETFs, and global bonds not listed locally. What to check:
Compliance: You’ll complete tax residency self‑certifications (CRS/AEOI) and, for US securities, W‑8BEN.
Funding: Transfer costs, FX spreads, and speed; consider a multi‑currency account.
Evidence: Keep account opening forms, balances, and annual statements in your permanent folder.
Home filings: Your home country may tax worldwide income and require reporting of foreign accounts/assets; plan with your tax advisor.
Coordination tip: Align the local (Saudi Exchange) sleeve with a global sleeve to avoid over‑weighting any single country/sector.
Taxes, WHT & reporting — what to plan for (home country rules apply)
Saudi context: Salary income isn’t taxed at the individual level; however, withholding tax (WHT) can apply to certain payments to non‑residents, and tax treaty relief may apply. Dividends from Saudi companies paid to non‑residents generally face WHT under domestic rules (see treaties).
Your home country: Residence/treaty status, capital gains/dividend taxation, and foreign account reporting (e.g., CRS/AEOI internationally; FATCA/FBAR for US persons).
Evidence to keep: Year‑end broker and Tadawulaty statements, dividend/distribution vouchers, fund factsheets, and a day‑count/travel log if residence could be questioned.
Not advice: Laws and rates change. Use this section as a planning checklist and verify details with official portals and a qualified advisor in your home country.
Risk controls — 12 habits that protect your money
1) Two banks. Fund via Bank A, keep emergency cash in Bank B. 2) Name order. Match passport spelling across broker, Edaa, and bank. 3) Small tests. Test deposits/withdrawals before moving size. 4) Evidence folder. Save PDFs for KYC, transactions, and entitlements monthly. 5) Index first. Use broad ETFs/REITs as your core; take single‑stock risk sparingly. 6) Costs matter. Watch spreads, FX, custody, and transfer fees. 7) No FOMO. Avoid chasing “hot” themes; stick to rules you’ve written down. 8) Rebalance rhythm. Quarterly is plenty for most retail investors. 9) Tax calendar. Add home‑country forms and dates to your phone. 10) Liquidity check. Size positions to your time horizon; know how fast you can exit. 11) Cyber hygiene. 2FA on broker/bank/tax portals; password manager. 12) Exit plan. If you may leave Saudi in 12–18 months, keep the portfolio simpler and paperwork immaculate.
Three model portfolios (illustrative, not advice)
Goal: examples of structure, not performance predictions. Replace tickers with local ETFs/REITs that match the idea and your risk. Rebalance quarterly; keep fees low.
A) Ultra‑simple Saudi Core (long‑term)
70% broad Saudi equity ETF (core exposure)
20% Saudi sukuk ETF/fund (stabilizer)
10% Saudi REIT basket (income tilt)
B) KSA + Global Diversifier (balanced)
45% Saudi equity ETF
20% global developed equity ETF (or GCC regional ETF)
20% sukuk/govt bond ETF (Saudi or global)
10% Saudi REITs
5% gold ETP/ETF (volatility dampener)
C) Income‑tilted (moderate)
35% Saudi equity ETF
35% Saudi REITs (diversified)
20% sukuk ETF/fund
10% cash‑like allocation (murabaha fund) for flexibility
Replace with actual products only after reading factsheets, checking fees, and validating Shariah methodology if relevant.
Worksheets & checklists (printables)
A) Brokerage onboarding checklist
Iqama + passport scans; address proof; IBAN certificate; employer letter/payslips if requested; completed application; name order check.
B) First‑trade checklist
App login & OTP set; small test order; see position at broker + Tadawulaty; test withdrawal; export confirmations.
C) REIT due‑diligence sheet
Asset mix, WALE, occupancy, manager, fees, distribution history, gearing, covenants, revaluation notes.
D) ETF selection sheet
Index, methodology, iNAV visibility, spreads/liquidity, tracking, TER, distribution policy, Shariah method (if any).
E) Evidence & tax folder
Broker statements; Tadawulaty consolidated reports; dividend vouchers; fund factsheets; day‑count sheet; advisor notes; treaty PDF.
Scripts (EN/AR) — broker, bank, employer HR
Broker (EN):
“I’m a resident expat with Iqama and want to open an investment portfolio. Please confirm your Edaa process for the depository account and share your fee schedule, order types, and settlement cut‑offs.”
الوسيط (AR):
«أنا مقيم أجنبي لدي إقامة وأرغب في فتح محفظة استثمارية. نرجو تأكيد إجراءات إيداع الحساب لدى مركز الإيداع ومشاركة جدول الرسوم وأنواع الأوامر ومواعيد التسوية.»
Bank (EN):
“I’ll fund a brokerage account from this IBAN. Please confirm any FX/transfer limits and provide a letter verifying my account details for the broker.”
البنك (AR):
«سأقوم بتمويل حساب وساطة من هذا الآيبان. نرجو تأكيد حدود التحويل/العملة وتزويدي بخطاب يثبت تفاصيل الحساب للوسيط.»
Employer HR (EN):
“Could you issue a salary letter addressed ‘To Whom It May Concern’ confirming role, start date and monthly pay? Some brokers request it with the application.”
الموارد البشرية (AR):
«هل يمكن إصدار خطاب تعريف بالراتب موجه «لمن يهمه الأمر» يتضمن المسمى وتاريخ المباشرة والراتب الشهري؟ بعض الوسطاء يطلبونه مع الطلب.»