Alrajhi Capital: Everything You Need to Know About Alrajhi Financial

Alrajhi Capital was established as the investment arm of Al Rajhi Bank, one of the largest Islamic banks in the world, to meet the growing needs of the Saudi market in financial and investment services. Based in Riyadh, it operates under the supervision of the Saudi Capital Market Authority. Since its inception, the company has focused on providing Sharia-compliant financial services, relying on Al Rajhi Bank's legacy of reliability and brand presence. Alrajhi Capital leverages advanced technological infrastructure and local and international expertise, enabling it to build a broad customer base that includes individuals, companies, and large institutions. Today, it is considered one of the key providers of brokerage, asset management, and trade execution services in the Saudi market, continuously striving to develop new products and services to keep pace with market transformations and investor aspirations.

Alrajhi Capital offers a comprehensive range of financial services, primarily focused on brokerage in the Saudi stock market, asset management, and launching diverse investment funds. Brokerage services include electronic trading of stocks and sukuk in the local market and over 37 global markets, through modern digital platforms and user-friendly applications.
In the field of asset management, the company manages portfolios for individual and institutional clients and provides customized investment solutions that range from real estate funds, sukuk, to local and international equity funds. It also offers Sharia-compliant investment funds, catering to a wide range of Saudi and Gulf investors. Through these services, the company aims to meet the needs of investors seeking growth or periodic income, with a focus on transparency and governance.

Alrajhi Capital has witnessed significant growth in its financial results in recent years. The current stock price of the company (April 2025) is approximately 8.1 Saudi Riyals, noting that the highest price over the past 52 weeks reached 8.80 Riyals, and the lowest price was 8.03 Riyals. The current market capitalization of the company ranges between 3.5 and 3.8 billion Saudi Riyals, with over 400 million shares outstanding. The price-to-earnings (P/E) ratio ranges between 25 and 30 times, which is a moderate ratio compared to the sector. The dividend yield in 2024 was around 3.0%–3.5%, with the company announcing regular quarterly distributions. In the third quarter of 2024, the company announced total revenues of 1.2 billion Riyals and a net profit of 200 million Riyals, with annual revenue growth ranging between 10–15% and annual profit growth between 8–12%. These figures reflect the company's stability and ability to achieve sustainable growth in a competitive environment.

Alrajhi Capital's activities belong to the financial and investment services sector, specifically brokerage and asset management. This sector is one of the main drivers of growth in the Saudi financial market, especially with the implementation of the Kingdom's Vision 2030, which aims to diversify the economy and increase investment participation. The sector has seen significant expansion in the investor base and increased trading volumes, with the number of individual and corporate investors participating in the market rising by over 20% in 2024 compared to the previous year. Companies in the sector face challenges related to market volatility, intense competition, and high governance requirements, but companies like Alrajhi Capital remain well-positioned due to their investments in digital technology, product diversification, and commitment to regulatory standards.

Alrajhi Capital seeks to enhance its competitive advantage by investing in digital innovation. In 2024, the company launched a new electronic trading platform that allows investors to trade in over 37 markets worldwide, in addition to the Saudi market. The company focuses on providing an advanced user experience based on artificial intelligence and smart financial analytics, with periodic updates to the application to increase security and speed of order execution. The company has also developed a robo-advisor service to facilitate informed investment decisions for new clients. These initiatives enhance Alrajhi Capital's position in a market that is strongly moving towards digital transformation and meeting the needs of the younger generation of investors.

Alrajhi Capital is subject to the supervision of the Saudi Capital Market Authority and adheres to strict governance standards. In 2025, the company developed its governance structure by appointing independent trustee committees and updating disclosure and transparency policies. This commitment enhances investor confidence and affirms the sustainability of the company's financial operations. Alrajhi Capital also prioritizes transparency in disclosing its financial results and distributions, providing periodic reports to shareholders through Tadawul and its official website. These practices align with modern trends in the Saudi financial market to improve disclosure quality and enhance investor rights protection.

Alrajhi Capital competes with several major financial companies in Saudi Arabia, including Al Ahli Capital, Riyad Capital, Samba Capital, NCB Capital, and Al-Jazira Capital. Competition is based on the quality of digital services, diversity of investment products, brand strength, and customer base reach. While Alrajhi Capital stands out in providing integrated services that combine brokerage, asset management, and international trading services, some competitors focus on specific customer segments or specific investment products. The company excels in the speed of digital development and providing Sharia-compliant investment solutions, giving it a strong competitive advantage in the local market.

Alrajhi Capital has witnessed several significant developments in 2024–2025, including the launch of a new trading platform in partnership with global companies and expanding its customer base through digital marketing campaigns and investment education programs. The company has entered into strategic partnerships with fintech companies to provide automated financial analysis services and has announced new products such as specialized investment funds in technology and renewable energy. On the other hand, the company continued to announce strong financial results and growth in revenues and profits, while enhancing its role in local and global financial conferences, affirming its commitment to developing the brokerage and investment sector in Saudi Arabia.

Despite the successes achieved by Alrajhi Capital, it faces challenges related to market volatility, changing interest rates, fierce competition from other brokerage firms and investment banks, and increasing regulatory requirements. Additionally, the entry of fintech companies into the brokerage sector puts pressure on traditional companies to accelerate innovation. However, Alrajhi Capital has managed to address these challenges by diversifying income sources, developing advanced digital solutions, and expanding its customer base, helping it maintain a strong position in the market.

Alrajhi Capital's strategy focuses on continuing to invest in digital transformation, expanding investment products, especially in new sectors such as technology and renewable energy, and increasing customer assets through modern digital platforms. The company aims to attract a broader segment of individual and institutional investors and enhance its presence in international markets through strategic partnerships. It also seeks to enhance financial literacy programs and provide smart investment solutions, in line with the Kingdom's Vision 2030 to increase financial inclusion and develop the financial services sector.

Sharia compliance is one of the fundamental pillars of Alrajhi Capital's success, as the company is committed to providing products and services that comply with Sharia regulations, thereby enhancing the confidence of local and international investors. The company also places great importance on sound governance by forming independent committees to oversee financial operations and ensure transparency in disclosures. These combined factors position Alrajhi Capital at the forefront of financial companies that blend religious commitment, transparency, and technological advancement.

Alrajhi Capital has launched various educational initiatives, such as the Investment Academy, to educate new investors on the key principles of investing and risk management. The company provides educational content through digital platforms, workshops, and free training courses, aiming to raise the level of financial literacy in Saudi society. This pioneering role in financial education contributes to enhancing customer confidence and empowering them to make more informed and responsible investment decisions, while also supporting the company's efforts to attract a new segment of young investors.

Alrajhi Capital places special emphasis on its digital channels and customer service. The company provides a comprehensive trading application and 24/7 customer service, along with a specialized technical support center. Clients can open investment accounts, execute trades, and access analytical reports online without the need to visit branches. The company also offers digital advisory services and periodic updates on markets and products, enhancing the customer experience and increasing their satisfaction with the services provided.

An investment account with Alrajhi Capital can be easily opened through the company's website or application, or by visiting one of the authorized branches. The process requires filling out an account opening form, providing a national ID or commercial registration, and agreeing to the terms and conditions. After activating the account, the client receives login credentials and can start trading in the Saudi market and global markets, in addition to benefiting from asset management and investment fund services.