Key rate increase boosts growth in floating rate note market
In 2023, Russian markets were mainly driven by internal factors, including the key rate increase by the Bank of Russia amid faster inflation.
In particular, growth in yields bolstered active development in the segment of corporate floating rate notes. The market of such securities grew by 16% to ₽14 trillion.
Companies demonstrated higher appetite for IPOs, the main participants of which were retail investors. In addition, individuals tended to conduct more transactions with shares listed as Level Two and Three. These financial instruments carry high risks which retail investors should weigh up.
The FX market continued to adapt to the new structure of export and import flows amid sanctions. The share of the yuan in the exchange market turnover rose and exceeded the shares of currencies of unfriendly states.
More details are available in the Review of Financial Instruments for 2023.