Doha Bank brings in QNBFS as LP for its QETF

Doha Bank on Thursday said QNB Financial Services (QNBFS) will begin the liquidity provision (LP) activities for its exchange traded fund QETF, effective from July 3, 2022.

QNBFS becomes the second LP for the ETF, joining The Group Securities which has been acting as lead LP, since the ETF’s inception in March 2018.The presence of two LPs will serve to deepen the liquidity pool for QETF and ensure investors receive the best possible prices when trading the exchange traded fund.The LP activity to an ETF is obliged to provide two-way quotes around the fair value of the ETF underlying holdings.Quotations continually update to reflect price movement in the underlying index components. An LP provides block-sized liquidity to help clients minimise the price impact of large trades and receive the best price for their order.The addition of QNBFS as a second LP closes a strong first half (H1) of 2022 for QETF; the ETF returned 12% on a total return basis YTD. The Qatar Index itself is in the top 10 best performing market globally.QETF has witnessed increased liquidity with volumes up 50% compared to H1 2021.