By Andrei Skvarsky. Two Moscow-based employees of the customer service of Sberbank, Russia’s biggest lender, are accused of stealing 40m roubles ($700,000) from one of the bank’s clients. Continue Reading
Bryn Mawr Trust CIO talks about Trump-era investment landscape
The US presidential and congressional elections ushered in a new set of variables for investors to consider, according to Ernest E. Cecilia, CFA, chief investment officer at Bryn Mawr Trust and a speaker at the marcus evans Private Wealth Management Summit Spring 2017, taking place at the Ritz-Carlton Orlando, Grand Lakes, in Florida on June 4-6. In this environment,… Continue Reading
EXCLUSIVE: Sun Global chief says US shale oil a threat to OPEC influence
By Andrei Skvarsky. Sun Global Investments chief executive Mihir Kapadia argues that the current decline in the oil price is largely the result of growing shale oil production in the United States and that the US shale industry’s performance may undermine the influence of the Organization of the Petroleum Exporting Countries (OPEC). Continue Reading
Asia Frontier Capital (AFC) – February 2017 Newsletter
“While it might seem that anyone can be a value investor, the essential characteristics of this type of investor – patience, discipline, and risk aversion – may well be genetically determined.” – Seth Andrew Klarman is an American value investor, hedge fund manager, philanthropist, in the hedge fund manager hall of fame, and founder of… Continue Reading
China finance minister says govt debt risks under control
By Andrei Skvarsky. China’s finance minister has put the total debt ratio of the country’s central and local governments at 36.7 per cent, arguing that this level is not high and will not change much by the end of 2017, that government debt risks are controllable, and that the government still has room for borrowing. Continue Reading
Top diplomat raps US bill to put Russia under ‘something like an economic blockade’
By Andrei Skvarsky. In a fresh sign of waning hopes in Moscow of a rapprochement with the United States, a top Russian diplomat has slammed “ill-wishers” in the US Congress for a plan to put Russia under “something like an economic blockade”. Continue Reading
Yandex.Money, payment service co-owned by Sberbank, changes chief exec
By Andrei Skvarsky. Yandex.Money, a key Russian online payment service co-owned by Russia’s biggest lender, Sberbank, has hired Ivan Glazachev, a former top manager at Russian Standard Bank, as its chief executive. Continue Reading
Aton: institutional investors think West unlikely to ease Russia sanctions
By Andrei Skvarsky. In a survey by Aton, one of Russia’s oldest investment companies, 76 per cent of more than 100 Russian institutional investors said they thought the West is unlikely to soften its sanctions against Russia. Continue Reading
With money-laundering scandal over, Deutsche Bank’s Russian unit has backdated tax bill to sort out
By Andrei Skvarsky. On top of having been at the centre of a money-laundering scandal that forced the parent company to pay large fines to British and US regulators in January, Deutsche Bank’s Russian subsidiary has received a 10bn-rouble ($174m) backdated tax bill from the Russian government. Continue Reading
Bayut upbeat about UAE residential property market despite 2016 problems
By Andrei Skvarsky. Apartment rents and prices in Dubai and Abu Dhabi dropped in 2016 but the two emirates’ real estate markets have stabilised significantly, according to property portal and private company Bayut.com. Continue Reading
Over 80 pct of buyers in Detsky Mir IPO foreign investors – Sberbank CIB
By Andrei Skvarsky. More than 80 per cent of buyers of the stock sold in the current highly successful initial public offering (IPO) of shares in Russian children’s goods retailer Detsky Mir were foreign investors, according to Sberbank CIB, a co-book runner of the sale. Continue Reading
Asia Frontier Capital (AFC) – January 2017 Newsletter
“What you pay for an investment is the single biggest determinant for how successful that investment will be. When equity prices are high, your returns will be lower. When they are cheap, your returns will be higher.” – Barry Ritholtz AFC Funds Performance Summary The team at Asia Frontier Capital would like to wish all… Continue Reading
The Trump Effect: What New Opportunities It Can Open For Business
Donald Trump is now the President of the United States. It is time for him to put turn his campaign promises into reality, and while that comes with several implications, some of the most positive implications are reserved for business. While there have been concerns surrounding a potential conflict of interest, the market seems to… Continue Reading
Russia’s biggest retailer for kids raises over $350m via IPO
By Andrei Skvarsky. Detsky Mir, Russia’s number-one children’s goods retailer, has raised 21.1bn roubles ($355.6m) through a fully-subscribed initial public offering (IPO) of shares, including an over-allotment option. Continue Reading
Money launderers smuggle at least $2.4m from Russia in 2016 by manipulating judiciary – newspaper
By Andrei Skvarsky. At least 16bn roubles ($2.4m) was taken out of Russia last year through a simple money-laundering scheme that had a practically unchallengeable cloak of legality over it due to the manipulation of the country’s arbitration courts, according to Russian business daily Kommersant. Continue Reading
Sberbank Europe’s 6th most valuable banking brand – Brand Finance
By Andrei Skvarsky. Sberbank, the name of Russia’s largest bank, is the sixth most valuable banking brand in Europe, according to Brand Finance, a global business valuation and strategy consultancy. Continue Reading
Russia’s Sberbank hires ex-ING banker to oversee digital overhaul of client service
By Andrei Skvarsky. Sberbank has hired former ING banker Bart Schlatmann to oversee a planned digital overhaul that would put the biggest Russian lender’s client service on an omni-channel basis. Continue Reading
Deutsche Bank ends up with fines of nearly $630m for alleged money laundering
Deutsche Bank has had fines totalling nearly $630m slapped on it by regulators in the United States and Britain for an “inadequate AML [anti-money laundering] control framework” that enabled about $10m to be illicitly taken out of Russia. Continue Reading
Russia’s no. 1 children’s retailer hopes to raise up to $434.5m via IPO
By Andrei Skvarsky. Detsky Mir, Russia’s number-one children’s goods retailer, hopes to raise up to 26bn roubles ($434.5m) through a planned initial public offering (IPO) of shares to be managed by several banks including Credit Suisse, Goldman Sachs and Morgan Stanley. Continue Reading
Kroll makes top appointments for cyber security, investigations teams
By Andrei Skvarsky. Kroll, a global provider of risk solutions, has promoted five members of staff to senior positions in its North America and Asia Pacific teams. Continue Reading
While investors see long-term value in Tesla, traders are wary of Q4 earnings report
Ever since Tesla’s stock took a beating in 2016, investors and traders have kept a strict vigil on the stock prices. However, with the uncertainties of Donald Trump’s presidency, there are a lot of worries which are plaguing the car manufacturer’s investors. Continue Reading
Russia’s RenCap makes hire for Sub-Saharan Africa consumer research team
By Andrei Skvarsky. Russia’s Renaissance Capital (RenCap) has made a hire for its research team for Sub-Saharan Africa, handing responsibility for industrials and consumer sector coverage to Adedayo Ayeni, previously an analyst at an African subsidiary of Portugal’s third-largest listed bank. Continue Reading
Credit Suisse, Goldman Sachs, Morgan Stanley, UBS, Sberbank to run IPO for Russia’s Detsky Mir kids retailer
By Andrei Skvarsky. Credit Suisse, Goldman Sachs, Morgan Stanley, UBS and Sberbank will oversee an initial public offering of ordinary shares announced on January 16 by Detsky Mir, Russia’s iconic, largest and booming goods retailer for children. Continue Reading
Sun Global chief: 2017 to be a splendid year to invest in oil stocks
By Andrei Skvarsky. Mihir Kapadia, chief executive of London-based Sun Global Investments, argues that OPEC’s November 30 deal to cut oil production will serve to push up oil prices to levels that could make 2017 “one of the best years to invest in oil stocks in quite some time”. Continue Reading
Mongolia asks VTB for $200m loan
By Andrei Skvarsky. Mongolia’s government has asked VTB, Russia’s second-largest bank, for a loan of $200m for buying Russian oil products, Russian media have said. Continue Reading
Russia effectively turns down Mongolian request for $1.66m loan
By Andrei Skvarsky. The Russian government has effectively turned down a request from its Mongolian counterpart for a loan of 100bn roubles ($1.62bn), according to a Russian cabinet report whose wording suggests the refusal was not definitive. Continue Reading
Moorgate Capital reports second ‘milestone’ deal for 2016
By Andrei Skvarsky. Moorgate Capital, a London-based financial advisory firm, has announced the completion of this year’s second “milestone” transaction it has been involved in, a deal in which one of its serial clients, a leading European producer of packaging, was sold to an investment company. Continue Reading
Real estate markets of Dubai, Abu Dhabi show signs of recovery – Bayut
By Andrei Skvarsky. After “months of continued downward movement”, apartment prices and rents in Dubai and Abu Dhabi began to show positive dynamics by October from an investor’s point of view, with the price decline slowing down and rents edging up, property portal Bayut.com said. Continue Reading
Asia Frontier Capital (AFC) – November 2016 Newsletter
“Investing should be more like watching paint dry or watching grass grow. If you want excitement, take $800 and go to Las Vegas.“ – Paul Samuelson, Nobel Laureate, American Economist AFC had another great month with all funds recording positive returns in November 2016 with the AFC Asia Frontier Fund and the AFC Vietnam Fund… Continue Reading