Sber Asset Management has launched Dollar Bonds, the first discretionary management FX strategy, on SberBank Online. Client funds are invested in dollar-denominated bonds issued by Russian and foreign companies, as well as in government bonds issued by developed and developing countries.

Dollar Bonds was previously available only for premium clients through offline channels. It is accessible to clients with assets of at least USD5,000. The minimum deposit in the online channel is much lower: clients willing to invest sums as low as USD100 are able to try out this product on SberBank Online.

There is a substantial number of bonds with a yield to maturity of 3-5% on the Russian stock market and developing country markets. Therefore, this strategy lets you earn more than through an FX savings account. Moreover, in a single click, depositors can also invest in this strategy without converting their investments.

Igor Mamontov

Vice President, Director of Investments and Savings, Sberbank

The goal of the strategy is to generate income in US dollars surpassing deposit rates at major Russian banks. The strategy provides for investments in a wide variety of bonds issued by various countries and in various sectors of the economy with the possibility of bond prices rising. The coupons are reinvested in the strategy as they are received.

Sber Asset Management financiers calculated four possible profitability scenarios for each strategy: positive, neutral, negative, and stress. The neutral scenario is the most likely to occur. A neutral scenario would entail +4.3% profitability in US dollars, a positive scenario +6.9%, and a negative scenario +1.6%. Clients invest by purchasing open-end funds run by Sberbank Asset Management. Further information about the terms of investment in the strategy can be found on the Sber Asset Management website.

In order to invest in the new strategy via SberBank Online, tap the plus sign (+) in the Investments and Pensions section in the main menu and select Discretionary Management Strategies.

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Sberbank of Russia published this content on 02 March 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 03 March 2021 08:01:04 UTC.