Russian Trading

westgolf

Hi All,

I have noticed a russian firm that I would like to invest in. Can anyone tell me what online services provide access to this market/ sector. Looked at tdwaterhouse but they dont cover it. Plan is to buy and hold for 3 to 5 years so it wont be a major trading operation.

any and all comments welcomed and answered

Regards

Westgolf

daheff

OOO...russian you say.

No offence, but you could be flushing the money down the toilet.

russia is difficult to get into or out of. Govt could confiscate the company assets at any time. If I were you, i'd look to see if theres a GDR (global deposit receipt) that you could buy instead.

good luck...and keep us informed!:D

westgolf

Thanks Daheff,

The crowd I'm thinking of are currently listed on the Main russian exchange and have declared an intention to explore a listing on one of the major western exchanges.

The way I'm thinking is that If I'm buying the stock with the intention of holding for approx 3-5 years I would get better value on the russian market as opposed to say waiting until they list in London or Frankfurt for example and possibly being a "facebook" type scenario where the share debuts on a high but settles below issue price soon after.

I have travelled within Russia in the last 2 years and whilst there is a level of bureaucracy its not unbeatable. The strength of the euro against the rouble allied to using a western bank with a Moscow branch operation to hold the funds ( if online setup and access turns out to be unavailable ) would give a level of comfort in that the exchange rate is reasonably steady for the last 12 to 15 months.

Given that we are all looking for value in investing I think that given the size of the economy and its stated desire for modernisation, If I got in within the next 3 to 6 months and held for 3 years I could see a significant return.Like any investment research is the key and the number of times I have been there leads me to believe that there is potential but needing careful scrutiny of the intended share(s),

sorry for being so longwinded:o

Regards

Westgolf

A Primal Nut

Check if they have ADR's trading on the US stock exchanges. It is where a US bank holds shares in the Russian company and then trade's ADR's equal in value to the shares they own. It is probably a different ticker. Perhaps google "the name of the company ADR".

OGZPY are an example of a Russian company who's ADRs are on my trading platform (fxcm.co.uk, sign up with sharewatch.ie)

Type the name of the company into Google Finance and check which exchanges appear. For Gazprom it's MCX, and their ADR's trade on Pink. Let us know all the exchanges they are on and maybe we can help. Alternatively, just tell us the name of the company.

westgolf

Hi Primal nut

Firstly thanks for the detailed reply. Googled the firm in google finance and got a lot of press release type information but a lot of it is just padding. They seemed to be traded in the russian stock exchange in some type of grey market, but on digging deeper bloomberg has them as unlisted.There is a statement of intention to go the IPO route,before christmas, on their website using either a uk or us listing. I think I will wait it out a bit and see what they announce. From reading and researching they seem to have a preference for a London listing so we should see some movement in the next few weeks.

Will keep you informed of developments

Westgolf

A Primal Nut

PM me the name of the company if you like, might notice something ya'd never know.

Might invest myself.:p

westgolf

PM Sent,

Westgolf