Albilad Capital, the manager of the Albilad Saudi Sovereign Sukuk ETF, announced its decision to distribute cash dividends to the fund's unit holders for January 2026. This reflects the fund's stable performance and its commitment to generating regular returns for investors. The distribution is part of the fund's strategy to provide a steady income stream through investment in Sharia-compliant government debt instruments.
Profit distribution details
According to the official statement published on the Saudi Stock Exchange (Tadawul) website, the total amount distributed is SAR 428,900 . These profits will be distributed based on 7.7 million outstanding units, resulting in a profit of SAR 0.056 . This distribution represents 0.67% of the fund's net asset value as of the announcement date. The eligibility for cash distributions is determined for unit holders registered in the fund's records as of the close of business on Tuesday, February 3, 2026. The profits will be deposited into the accounts of eligible investors within 10 business days from the eligibility date.
General context and importance of sovereign bonds
The Albilad Saudi Sovereign Sukuk ETF is a significant investment vehicle in the local financial market, offering investors the opportunity to invest in a diversified portfolio of sukuk issued by the Government of the Kingdom of Saudi Arabia. Sovereign sukuk are Sharia-compliant debt instruments used by governments to finance development projects and manage their fiscal policies. Within the framework of Vision 2030, these sukuk play a pivotal role in financing mega-projects and diversifying government revenue sources away from oil, as well as deepening and enhancing the attractiveness of the local debt market.
Expected impact on the market and investors
The announcement of regular cash distributions by funds like Albilad Fund bolsters investor confidence in the Saudi financial market and provides a relatively low-risk investment channel for individuals and institutions seeking regular and stable returns. Domestically, this contributes to increased liquidity in the debt market and encourages a culture of saving and long-term investment. Regionally and internationally, the success and stability of these investment instruments reinforces the Kingdom's position as a leading center for Islamic finance and attracts foreign capital seeking safe and Sharia-compliant investment opportunities in the region.
In closing, Albilad Financial Company called on all unit holders to review and update their personal and banking information with the financial market institutions they deal with, in order to ensure that they receive their due profits directly into their accounts without any delay.
