The freeze thaws: An insider’s guide to trading Russian shares and what happens next (2024)

FAQs

What will happen to my Russian stocks? ›

Americans will still be allowed to sell Russian stocks and bonds, although only to a “non-US person,” Treasury said. The guidance explains that Americans are not “required” to divest Russian securities and may continue to hold them.

Can I Still Buy Russian Stocks? No. On June 6, 2022, the Biden administration issued an executive order prohibiting investors in the U.S. from purchasing new or existing bonds or stocks securities issued by any entity in the Russian Federation. Investors may, but are not required to, sell their Russian positions.

Russian stocks have been excluded from global benchmarks and exchange-traded funds tracking the country's shares have been frozen, while European companies with business exposure to the country have lost more than $100 billion in market value since the war risks surged, and Russian companies' global depositary receipts ...

Type C Custody Accounts and General Restriction to Sell

All non-Russian residents from “unfriendly jurisdictions” have their Russian shares recorded on special “type C” custody accounts, which are effectively blocked due to an extremely limited number of transactions that are authorized with such accounts.

Equity markets were volatile and provided some surprises

Macroeconomic concerns such as energy-price-led inflation and rising rates, coupled with the political uncertainty caused by the war, led to equity-market drawdowns that lasted as late as September 2022 for all major global markets.

You can invest in Russian stocks through mutual funds, ETFs, and ADRs that help you avoid the risks of direct investments. Before and during investing in Russian stocks, ensure you're familiar with the economic factors and conditions the country faces.

New guidance issued Monday by the Treasury Department explains that US investors are prohibited from buying "both new and existing debt and equity securities issued by an entity in the Russian Federation."

"Consistent with our goal to deny Russia the financial resources it needs to continue its brutal war against Ukraine, Treasury has made clear that U.S. persons are prohibited from making new investments in the success of Russia, including through purchases on the secondary market," a Treasury spokesperson said on ...

Russia staged a reopening of its stock market Thursday, allowing a four-hour trading window for only 33 of the nation's largest corporations in a move global experts have panned as economic posturing.

Nasdaq has notified Russia's tech giant Yandex and four other major internet companies that their stocks will be delisted this month unless they appeal the stock market's decision. Nasdaq and the New York Stock Exchange halted all listings of Russian companies in the days after Russian troops invaded Ukraine on Feb.

What will happen to my Gazprom shares? ›

After August 3, 2023 (for Rule 144A DR program, the date is June 9, 2023), the depository bank will become entitled to sell Gazprom's shares represented by the ADRs and will use the proceeds from such sales to make payments to the remaining owners of the depositary receipts.

The Russian stock market, which has been closed since the end of February following the invasion of Ukraine, partially reopened on Thursday and rose as much as 12% before finishing with gains of about 4.4%.

Yes, you can. The process might be a bit complicated for non-citizens, but it's not impossible. Whether it's for business, travel, or personal reasons, setting up a US bank account will be worth the trouble.

Yes, a foreigner can open a US bank account without a SSN. In most cases, you'll need to provide additional documentation such as a passport, visa, and proof of residency. You may also be required to open a business bank account rather than a personal account.

Talking about temperatures, it is useful to know that Russians measurements are in Celsius (metric system). For people from Fahrenheit-oriented countries this type of measurement can be challenging.

On Wednesday, the NYSE and the Nasdaq announced that five Russian-affiliated internet companies would be formally delisted. The move comes a year after trading was halted in the wake of Russia's invasion of Ukraine.

After shutting down for almost a month, the Russian stock market reopened for limited trading on Thursday.