Exchange-traded funds that track Russian stocks have lost over half of their value this week, and some have been halted from trading entirely.
"ETFs trade all the time when the underlying is not traded. Obviously all Asia ETFs trade when the Asia markets at closed. Russia, on a normal day, closes at 9 a.m. so RSX is almost always trading based on 'stale prices,'" van Eck said.
Another issue for these funds, and for others that track international stocks more broadly, is that market index providers have taken moves to carve out the Russian stocks. The dramatic declines and lack of liquidity could make it difficult for fund managers to follow their indexes, said Ben Johnson, director of global ETF research at Morningstar.
Some funds may choose to simply set the stocks to the side and mark them to zero instead of trying to unload them, Johnson said.
Deutschland Neuesten Nachrichten, Deutschland Schlagzeilen
Similar News:Sie können auch ähnliche Nachrichten wie diese lesen, die wir aus anderen Nachrichtenquellen gesammelt haben.
Russia economist drinks to country's stock market collapse on live TV—''Rest in peace'''I'm opening my sparkling water here to toast to the death of Russia's stock market,' said Alexander Butmanov.
Weiterlesen »
Stock futures rise slightly as investors brace for February jobs report, Russia-Ukraine updatesStock futures rose slightly on Thursday.
Weiterlesen »
U.S. stock futures sink as Russia attacks Ukraine's largest nuclear plantU.S. stock-index futures plunged late Thursday after reports that Europe’s largest nuclear power plant, in Ukraine, was on fire after Russian shelling, raising fears of an unprecedented nuclear disaster.
Weiterlesen »
Russia-Ukraine war: United Nations approves resolution condemning Putin, Russia: LIVE UPDATESThe Russian invasion of Ukraine stretched on into its seventh day Wednesday with a massive air assault on the second city of Kharkiv and forces moving toward the capital of Kyiv.
Weiterlesen »
Ukraine-Russia War: Russia occupies Kherson and Kyiv faces intense bombingsThe war enters a second full week. Thousands are dead, one Ukrainian city has been occupied, others are under siege, and a major European war continues.
Weiterlesen »