VanEck is liquidating two Russia exchange-traded funds nearly a year into Vladimir Putin’s invasion of Ukraine.
The issuer is closing the VanEck Russia ETF (RSX) and the VanEck Russia Small-Cap ETF (RSXJ), it said in a release Thursday. Trading in the funds and others like them had ceased following Russia’s brutal invasion of its neighbor, which started in February. The U.S. and its European allies, among others, instituted harsh sanctions against Russia in the wake of the war.
“The effect of geopolitical affairs and sanctions imposed by the United States and other countries on transactions in Russian equities, and on related clearance and payment systems, have rendered a substantial number of the funds’ positions illiquid, including many depositary receipts,” VanEck said in the release.
The inability to buy, sell and make or take delivery of Russian securities made it impossible to manage their investment objectives, the company added. VanEck says the liquidation of RSX and RSXJ could take a long time if the situation with Russian markets doesn’t improve.
Stocks linked to Russia plunged following the outbreak of war and subsequent economic punishment meted out to the country. But many asset managers also steered clear of Russian-linked investments due to reputational concerns.
Separately, Franklin Templeton said last week that the firm was liquidating its Franklin FTSE Russia ETF (FLRU).
From outstanding individuals to innovative organizations, find out who made the final shortlist for top honors at the IN awards, now in its second year.
Cresset's Susie Cranston is expecting an economic recession, but says her $65 billion RIA sees "great opportunity" to keep investing in a down market.
“There’s a big pull to alternative investments right now because of volatility of the stock market,” Kevin Gannon, CEO of Robert A. Stanger & Co., said.
Sellers shift focus: It's not about succession anymore.
Platform being adopted by independent-minded advisors who see insurance as a core pillar of their business.
RIAs face rising regulatory pressure in 2025. Forward-looking firms are responding with embedded technology, not more paperwork.
As inheritances are set to reshape client portfolios and next-gen heirs demand digital-first experiences, firms are retooling their wealth tech stacks and succession models in real time.
