SAUDI ARABIA's first exchange-traded fund (ETF) tracking Hong Kong-listed Chinese stocks will debut on October 30, marking deepening financial collaboration between the two nations, reports Caixin.

The Albilad CSOP MSCI Hong Kong China Equity ETF is a collaborative effort between CSOP Asset Management Ltd and its Saudi counterpart Albilad Investment Co, which manages the product.

According to CSOP, 95 per cent of the ETF's proceeds will be invested in a CSOP-managed fund targeting the largest-cap Hong Kong-listed Chinese companies, providing a convenient way for Saudi investors to access the Hong Kong market.

The listing of the ETF on the Saudi Exchange was approved by the Saudi Capital Market Authority last month.