Russian Markets See Record ETF Inflows as Investors Chase Growth
Russian markets have witnessed a significant boost in interest, with exchange-traded funds (ETFs) attracting over 1 trillion rubles since the start of the year. Despite cautious involvement from Middle Eastern funds, institutional investors remain largely absent. Vitaly Sergeichuk, a VTB board member, has observed this shift in investor sentiment.
The surge in ETF inflows totals around 100 billion rubles in equity funds alone. Foreign investors are drawn to attractive opportunities, with infrastructure construction, IT transformation, and domestic software solutions leading the way. The Moscow-Saint Petersburg high-speed railway project and large regional construction initiatives are currently driving economic growth.
Looking ahead, economic growth rates are projected to slow to 1.2-1.3% by 2025, following robust growth of over 4% in 2023-2024. To maintain balanced structural analysis, increasing the share of institutional investors in placements is crucial.
The Russian market's appeal lies in its potential sectors, attracting both domestic and foreign investors. Despite a slowdown in economic growth projections, the market's restructuring and attractive investment stories continue to draw interest, with ETF inflows reaching record highs.
Read also:
- Minimal Essential Synthetic Intelligences Enterprise: Essential Minimum Agents
- Tesla is reportedly staying away from the solid-state battery trend, as suggested by indications from CATL and Panasonic.
- UK automaker, Jaguar Land Rover, to commit £500 million for electric vehicle manufacturing in Merseyside
- Fast-food chain Subway joins the trend of plant-based alternatives, introducing a Beyond Meat meatball sub.
