Am I invested In Russia?
With the continued heart-breaking footage coming out of Ukraine and with more sanctions being imposed against Vladimir Putin and his cronies I am sure you might be wondering if you have any exposure to the Russian Financial Markets.
When I asked this question of Dimensional Fund Advisors (our main investment partner) they reminded me that the weighting towards Russia was reduced back in 2014 when sanctions were first imposed on Russia following the annexation of Crimea.
In fact the only exposure now is via their Emerging Markets Core Equity fund and typically this would only amount to 0.04% of your portfolio. With immediate effect Dimensional (DFA) has completely removed Russia from their list of approved markets for investment and will now divest all Russian holdings from their portfolios as market conditions allow.
DFA do not invest in Russian-denominated bonds.
I am sure DFA is not alone in taking such action and hopefully measures like this, coupled with the bravery of the Ukrainian people and the aforementioned sanctions, will cause Putin ‘tae think again!’.