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Qatar Stock Exchange set for ETF debut to boost liquidity

Qatar Stock Exchange set for ETF debut to boost liquidity
Exchange Traded Funds (ETFs) are set to make their debut next week on 23 April on the Qatar Exchange (QE) as the bourse enters the MSCI Emerging Market grouping by June. The foreign debt-based and general index-based ETFs are set for launch, which will be followed by Islamic-index based ETFs by the end of summer as part of measures by the QE to enhance the liquidity in the market. ETFs are mostly index-based, open-ended funds that can be bought and sold as quickly and easily as ordinary shares on a stock exchange. They provide investors with the opportunity to access markets that were previously closed to them. The moves to launch ETFs comes in the backdrop of an expected QAR3bn to QAR5bn foreign funds inflows after the upgrade of the QE by both MSCI and Standard & Poor’s-Dow Jones, which are to take place by June and September this year respectively, according to Gulf Times.