Direct Answer
The MT30 Index is a rule-based measurement of top 30 companies listed on the Saudi Exchange weighted by free-float market capitalisation, maintained by Saudi Exchange. Like every index it owns nothing: it is a number produced by applying a published weighting formula to a selected list of companies, revised on a schedule the provider sets.
What this index covers
The MT30 Index covers top 30 companies listed on the Saudi Exchange weighted by free-float market capitalisation, within the Saudi Arabia market. Saudi Exchange defines which securities are eligible, how they are selected from that pool, and how much each one contributes to the published number.
The name states a target of 30 companies. A target is not a guarantee of the exact count on any given day: corporate actions, dual share classes and pending additions all move the real number around it.
How constituents are weighted
Constituents are weighted in proportion to free float adjusted market capitalisation, and each security is capped at 15%.
The weighting method is the single biggest driver of how an index behaves. Two indexes covering the same market can diverge for years purely because they weight differently, which is why comparing index levels without knowing the method tells you very little.
What qualifies for inclusion
Built from the MSCI Saudi Arabia IMI STW parent index, which is screened for liquidity and international investability. The index picks the largest parent constituents by free float adjusted market capitalisation, aiming for about 30. The parent follows a Sunday through Thursday trading calendar.
Eligibility rules are the part of an index most readers never look at and the part that decides what it can possibly measure. A screen that excludes a whole sector, or admits only one listing venue, shapes the result far more than any day of trading does.
How long a listing must exist first
No new securities are added between reviews except additions to the parent index, such as an IPO, which enter at an estimated full market capitalisation adjustment factor on the inclusion date.
A seasoning rule is why a large new listing does not appear in an index the week it starts trading. It is a deliberate lag, and it means an index can under-represent a fast-growing part of the market for months at a time.
When the membership is revised
Rebalanced annually at the close of the last business day of November, with a target count of 30 to 35. Quarterly reviews at the end of February, May and August allow 25 to 35 constituents.
Reconstitution is the one date an index changes shape by design rather than by price. Funds tracking it have to trade toward the new membership, which is why the schedule matters to anyone holding the tracker rather than only to the provider.
The rule that surprises people
The constituent count floats between 25 and 35 instead of being fixed, and a quarterly review only adds names when the count falls below 25 or trims it when it exceeds 35.
References
- Saudi Exchange: MSCI Tadawul 30 Index Methodology January 2020, as published 2020. Every rule described on this page is taken from this document.
Current MT30 Index constituents
Saudi Exchange publishes and licenses the MT30 Index constituent list. Swoopr does not republish it here. The provider's own page is the authoritative source for current membership and weights.
Related reading
- All stock market indexes: how indexes are built, weighted and revised.
- Emerging Markets indexes: others covering the same region.
- Index concentration: measuring how much of an index sits in its largest holdings.
- Index rebalancing and inclusion effects: what happens to a stock when index membership changes.
Frequently Asked Questions
Who maintains the MT30 Index?
Saudi Exchange maintains the MT30 Index and publishes the methodology document that defines its eligibility and weighting rules.
What does the MT30 Index measure?
It measures top 30 companies listed on the Saudi Exchange weighted by free-float market capitalisation. The index is a calculated number applying a weighting formula to a selected list of companies, and it holds nothing itself.
Where can I see the current MT30 Index constituents?
Saudi Exchange publishes the current constituent list. Swoopr does not republish it, because index providers license constituent data and Swoopr holds no such licence.