The Bank of Russia has announced plans to align the criteria for protecting retail investors in both the stock market and marketplaces. A new threshold for transactions involving complex financial instruments will be set at ₽6 million without requiring testing. This threshold is proposed to increase to ₽12 million in 2025 and further to ₽24 million in 2026. The same threshold will apply for granting qualified investor status based on income qualifications, according to a draft ordinance from the regulator.
Since April 2024, financial marketplace clients have been required to take a test when conducting securities transactions. This measure aims to safeguard inexperienced investors from unwarranted losses. However, if a transaction exceeds the value established by the regulator, investors are exempt from this testing requirement. The Bank of Russia believes that aligning this amount with the new criteria for qualified investors ensures equal protection whether securities are purchased through a professional market participant or a marketplace. It is assumed that clients making large purchases have a safety cushion and can bear certain risks.
Additionally, similar to buying securities through brokers, investors are not required to take tests on simpler financial instruments such as shares and depositary receipts listed on Russian stock exchanges, fixed-income OFZs, investment units of open-end, interval or exchange-traded unit investment funds, among others.
The draft ordinance will be open for discussion from May 27 through June 9.
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