“Net weekly outflow of capital from Russian stock from the funds is recorded after 8 weeks of continuous inflow

Moscow. 26 Oct. INTERFAX – Financial group (FG) “BCS” reviewed the operations of customers “BCS” main securities traded on the “Moscow stock exchange” , for the week ended October 25, 2017. This is stated in the report of the experts of FG Vyacheslav Smolyaninov, and Basil Mordovtseva.

According to the data obtained, the experts came to the conclusion that the Russian stock market is clearly in a negative momentum and is likely to continue correction in the coming weeks.

According the reference week for the first time since mid-August were recorded a net outflow of capital from Russian stock of the funds. Thus, the Russian ETFs withdrew $29 million, including net inflows of $19 million in shares of the Russian Federation from GEM funds (the global funds focused on emerging markets), the total net outflow of stocks of the Russian Federation for the week ended 25 October, made $10 million.

Institutional flows were balanced between purchases and sales.
Meanwhile, retail investors have suddenly started active buying on the stock market of the Russian Federation.

According to the results of the analysis, the average amount of long positions of retail investors during the week increased by 5.3%. “A truly outstanding result for our observations. The only case in six years of existence of our product when the retailers are more actively increased “long”, was recorded in September of last year. Remarkably, it was the annual highs for the index of emerging markets, but Russia saved the tributaries caused by trump’s victory in the elections at the end of the year,” the review says.

According to experts, a near-record optimism and the negative momentum of the movement of capital clear the alarm signal and change the tactical view from neutral to negative is justified.

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