The total inflow of money into funds investing in Russian stocks, during the week 3 to 9 March 2016, more than three times exceeded the result of the previous week and amounted to $177.5 million compared to $49.5 million, According to Sberbank Investment Research, this was the best weekly result since the signing of the Minsk agreements in February 2015, reports “Interfax”.
According to Emerging Portfolio Fund Research (EPFR), over the past week passive funds increased their investments in Russia at $156.2 million, active $21.3 million thus the most part of new shares in Russian companies ($85.6 million) was provided by global funds investing in emerging markets in General. Funds investing in Russian shares, increased investments by $79.4 million
In the report, Sberbank Investment Research noted that investor interest in Russia fueled a rebound in oil prices and the increase of faith in emerging markets as a whole. Statistics show that the total net inflow of funds in emerging markets amounted during the week 3 to 9 March to $1.7 billion, becoming the largest since July 2015.
Earlier, analysts at Bank of America Merill Lynch reported that foreign investors are generally willing to increase investments in the Russian assets, but this requires the stabilization of oil prices. They added that the effect this has on the fact whether the Western sanctions against Russia.
For 2015, the outflow of capital from emerging markets to seven times higher than in 2014 ($735 billion versus $111 billion) and was the highest for the last 15 years, it was reported in a study of the Washington Institute of international Finance (IIF). IPM analysts predicted that in 2016, the outflow of capital from emerging markets will slow, but will remain significant and will amount to $448 billion.