That could mean $13.6 billion could come into Saudi stocks from passive investors and if active investors also increased their Saudi exposure to the weighting following an Aramco IPO the total inflows could be $68 billion.
While London is preferred over NY, the requirement by both for greater disclosure of sensitive information on Aramco than the Hong Kong exchange is viewed as a drawback by some Saudi officials and advisers, the sources said.
But its finances have not been transparent, and both the American and London stock exchanges require both transparency and the protection of public shareholders.
King Salman also announced that an anti-corruption conference will be held in April at which combating corruption in privatisation programs will be discussed, the Saudi government website reported.
Saudi Aramco had planned to begin trading on the country's domestic stock market - the Tadawul - and one or more foreign exchanges in the second half of 2018.
Now, others are said to be living in fear of what could be next.
If Saudi Arabia opted to list shares of the company overseas, officials that spoke with FT said they expected a domestic and foreign listing to occur at roughly the same time, potentially in the first half of next year, the paper said.
On Sunday, the king called for the creation of the new bodies that are meant to "increase effectiveness" and accelerate the process of combating corruption, Attorney General Sheikh Saud al-Mojeb said in an information ministry statement. In the region, speculation has turned to a possible sale of a stake to a sovereign wealth fund, possibly the Chinese.
"Appropriate decisions will be made in due course".
"We are preparing for all areas because we don't know where we will be listed", Amin H. Nasser, Aramco's chief executive, said in a recent interview at the company's headquarters in Dhahran. Allan Hogarth, head of policy and government affairs at Amnesty International U.K., also voiced concern over the deal.