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Saudi authorities are changing market regulations to attract foreign investors to the country's stock market.Net sales of Saudi stocks by retail, high-net-worth and individual professional investors stretched to 80 consecutive weeks at the end of November, figures from the Riyadh bourse show.Institutions have been more positive, purchasing stocks when local retail investors sell, seen by some analysts as a sign of government support.Here are some further views on why Saudi investors have been persistent sellers:Mazen Alsudairi, head of research at Al Rajhi Capital in Riyadh said some of the concerns that are top-of-mind for individual investors include VAT-tax regulation, increases in taxation, and the potential for further weakness in oil prices.Foreign institutions are a small factor, but this should change gradually as Saudi Arabia wins inclusion in emerging-market indexes, such as those compiled by MSCI Inc. and FTSE-Russell, given the weighting the Riyadh market will likely carry.
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