Political uncertainty is a big red flag, but if you’re still bullish, avoid individual Russian equities and plump for a passive fund instead, says David C Stevenson.
One stock market in the world today represents either the single greatest opportunity within emerging markets – or the single biggest value trap. If you hadn’t guessed it already, I’m talking about Russia.
By various measures, Russian stocks look fantastically cheap. But are they set to soar? Or could they get even cheaper?
The key lies in whether or not you believe that politics should matter to investors. When I was a young [...]