RIYADH - Saudi Arabia announced the plan to launch a Riyadh-based multi-asset investment management platform on Tuesday.

Under a memorandum of understanding signed by BlackRock Saudi Arabia and the Saudi Public Investment Fund, BlackRock will establish a Riyadh-based multi-asset class platform named BlackRock Riyadh Investment Management, according to a PIF statement.

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The platform will be anchored by an initial investment mandate of up to $5 billion from PIF and encompass investment strategies across a range of asset classes.

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Larry Fink, chairman and CEO of BlackRock, said, "We are excited to build on the deep partnership we have developed with PIF over many years to launch the first-of-its-kind international investment management platform in Saudi Arabia."

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Yazeed A. Al-Humied, deputy governor and head of MENA Investments at PIF, said, "This new landmark agreement represents a step forward in PIF's work to make the Saudi investment and asset management market more internationally diverse and dynamic."