Казахстан стал к нам теперь немного ближе

Поделился с ETFStream причинами нашего интереса к рынку Казахстана и причинах появления KASE ETF на MoEx, а также российском рынке ETFs и планах развития B2B2C Robo #finexetf

Interview: Why you should invest in Kazakhstan

Why Kazahstan?

Kazakhstan is a frontier market which is relatively stable in terms of its macro-economic and political environments compared to other frontier markets. Moreover, Kazakhstan is rich in different types of commodities and able to compete with other emerging markets in terms of economy and financial markets attractiveness. With current yearly GDP growth of 4% the Kazakh market is undervalued in terms of P/E ratio compared to Mexico, Columbia, Qatar and Chile. Currently this ratio is 10.8x compared to the emerging markets average of 14.9x. The average dividend return of KASE is 5.3%, which is larger than the average of emerging markets by 65%. Our fundamental research of the seven companies from the KASE index estimates a weighted-average upside potential for the KASE index of 26%.

Robo-Advisory in Russia and Russian ETF Market Propspects

The Russian ETF market emerged in 2013, when FinEx launched Russia’s first ETF, the FinEx Tradable Russian Corporate Bonds UCITS ETF (FXRB). Since then, the market has expanded with a CAGR of 166%. Now there are two European providers of ETFs in Russia – FinEx ETF and ITI Funds. The Russian ETF market is a part of the European ETF market, and is larger than the ETF markets of Austria, Belgium, Poland, Portugal and Turkey. However it is still small compared to the leading European markets – UK, Germany and France.

Any Russian non-qualified investor is eligible to buy shares of locally-listed ETFs, they are allowed to be purchased through standard brokerage accounts, Individual Investment accounts (IIAs), advisory services and robo-advisors (also operated by FinEx).

We are planning to focus on further development of FinEx’s B2B2C Robo Platform, Financial Autopilot, which has “Robo-Advisor 4.0” capabilities with fully automated processes that allow the shift between different asset classes based on changing market conditions and individual investment needs such as risk appetite, liquidity aspects. The technology monitors and adjusts single client portfolios to stay on track with their selected investment goals. In collaboration withFinEx two robo-advisory platforms have been launched (one with the largest Russian bank, Sberbank, and the other with the number one e-money wallet provider, Yandex.Money) with a number of similar projects in the pipeline.

With respect to new ETF launches, we have made a strategic decision going forward to focus on co-branded products with major Russian market players, or others looking to enter the European ETF marketplace.