Baladna will replace Barwa Real Estate Company in the Qatar Stock Exchange’s main 20-stock QSE index, with the change taking effect from 1 December. The adjustment is part of a semi-annual review conducted by the bourse to ensure its primary barometer accurately reflects current market dynamics and company performance.
Baladna Joins Main QSE-20 Index
Following the review, Baladna will join an established list of Qatar’s largest and most liquid companies. The other 19 constituents of the main index will remain unchanged. These include Qatar National Bank (QNB), Qatar Islamic Bank (QIB), Industries Qatar (IQ), Nakilat, Commercial Bank, AlRayan Bank, and Ooredoo.
Other prominent firms retaining their position in the index are QIIB, Dukhan Bank, Milaha, Woqod, Qatar Electricity and Water (QEWC), Doha Bank, Mesaieed Petrochemical Holding (MPHC), Vodafone Qatar, Gulf International Services, Qamco, Estithmar Holding, and Ezdan.
Revisions Across Other Indices
The semi-annual review has also resulted in adjustments to other key indices on the Qatar Stock Exchange.
Al Rayan Islamic Index Additions
Aamal Company and Meeza QSTP are set to join the Al Rayan Islamic Index. They will be included alongside existing members such as IQ, QIB, AlRayan Bank, Ooredoo, Dukhan Bank, Woqod, United Development Company, MPHC, Barwa, and Vodafone Qatar.
Al Mahhar Holding Enters Two Indices
In a separate move, Al Mahhar Holding will be added to both the QSE All Share Index and the Consumer Goods and Services Index, broadening its exposure to investors tracking these market segments. The bourse’s All Share Index is structured across seven sectors, reflecting the diverse economic landscape. This diversification extends into the country’s cultural sphere, with projects like the way Qatar pioneers digital cultural innovation with NMoQ Metaverse Project gaining international attention.
How Index Constituents are Selected
The Qatar Stock Exchange reviews its indices twice a year to maintain their relevance and integrity. The selection process is based on a clear methodology where all listed companies are ranked using a combination of free-float market capitalisation and average daily value traded, with each metric given a 50% weighting.
Companies with a velocity of less than 5% are excluded from consideration. The index also applies a cap to prevent any single constituent from dominating; any company exceeding a 15% weight is capped at that level, with the excess weight distributed proportionately among the remaining stocks. This process ensures that inclusion is based on merit and market activity, a principle of earned placement that mirrors discussions in other public forums where Qatar Foundation’s Doha Debates explores ‘earned success’ in various societal contexts.
