Russian stock brokers make huge profits from crisis
Trading volume spike on the stock market since March that Moscow brokerage firms have the session extremely busy .
Alexander Antipov is enjoying a dream vacation after nearly two decades at the beach in Acapulco ( Mexico ) . Even so , sales director Veles Capital investment fund must still hear the phone constantly . His clients worried about moves by President Vladimir Putin to Ukraine and want to know whether they should sell the stock or not . Timeline of Antipov therefore also disturbed . During the day he lay down , and back up to the balcony to watch the market more than 11,000 km from Moscow .
Market volatility is a profit opportunity for stock brokers . Photo: Bloomberg
The crisis in Ukraine has led staff stockbroker Russia has a busy and profitable year . Trading on the stock market nearly doubled in 50 Russian stock brokerage firm in two months 2 and 3 and will be strong again in April , according to data from the Moscow Stock Exchange . Meanwhile , the investment bank , the distorted face when obtained at cost from the business , due to the limited company with each other because conflict .
Index RTS Volatility Index , a measure of the volatility of Russian stocks , has more than doubled over 12 years and peaked in early March 5 . ” Market fluctuations are linked with increased volume . crisis is a time of opportunity . therefore , many people will finance ” , Igor Vayn – CEO Renaissance Capital said . Number of shares traded companies rose 76 % in March from the previous month .
Stock index on the floor Micex Moscow fell 0.5 % yesterday . The index has risen 7.4 % since bottoming in mid- March 4 . Meanwhile , trading volume in March was 167 billion shares every day , twice the average of the previous two months was 86 billion . This data is 107 the week of March 3 billion shares .
JPMorgan Chase ‘s stock price has hit the floor at the Moscow stock ” buy ” and increased profit per share ( EPS ) of the exchange period 2014-2016 to 8 % . Since mid- March , its stock rose 12 % .
However, the prosperity of the brokerage firms will only be temporary if Russia can not stabilize the crisis and investors that the market was safe , according to Mr. Luis Saenz – who led the Stock Exchange at BCS Financial Group .
” Movements up and down in volume in March can only be short term . Thing that I really care about is political instability in Crimea have been eased or not . Otherwise, medium term and long term , volume will decline as foreign investors shunned fear and the market , “he said .
Trading volume at Veles Capital has more than tripled to 8.75 billion rubles in March , compared with the previous month . However, Antipov not disclose profits expected this year . ” The political situation is more shadow economy . Difficult to make any predictions at this time ,” he said .
Russian stock brokers make huge profits from crisis .