Assessment of Russian Stock Market Attractiveness for Foreign Investors

Abstract

Issues of assessing the attractiveness of the Russian stock market for foreign investors seem very interesting and relevant. So, at present, Russian and foreign researchers have examined the features of the stock market and the factors affecting its attractiveness, methods and indicators for assessing the attractiveness of issuers and the stock market, have assessed the state and development trends of the Russian stock market, as well as the foreign investors' operation in the market, etc. The research proposes a technique for assessing the attractiveness of the Russian stock market for foreign investors based on an integrated attractiveness index. The work also studied the key components of the proposed index and made its computation for the Russian stock market for the period of 2007-2017. Based on the computation, we found that the Russian stock market attractiveness for a foreign investor can be described as average or satisfactory, but in its dynamics it is approaching a good mark. In turn, foreign investors can invest in Russian securities from the prospective of the economic situation in the country and the state of stock market instruments.