Russia’s central bank has proposed banning Russians with holdings worth less than $550,000 from buying foreign stocks, as a measure to protect investors after Western sanctions left them with billions of dollars stuck in frozen accounts.
Russia has had a retail investment boom since the Covid-19 pandemic, with individual investors looking to cash in amid a record number of domestic IPOs and low deposit fees.
Many Russians also bought foreign shares using accounts now frozen under Western sanctions imposed after Russia sent tens of thousands of troops to Ukraine on Feb.
Central bank vice president Philip Gabunia said that more than 5 million people in Russia hold foreign shares in frozen accounts, worth a combined 320 billion rubles ($5.84 billion).
New restrictions would strengthen requirements to gain qualified status to buy foreign shares, Gabunia told a news conference.
In addition to requiring investors to have holdings worth more than 30 million rubles ($550,000), the change would also require them to pass a knowledge test.
Source: CNN Brasil
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