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S&P Global Ratings on Thursday cut Russia's credit deeper into junk territory, from 'CCC-/C' to 'CC/

edited April 8 in Other Investing
“Investors don't appear to have received a coupon payment on Russian dollar-denominated Eurobonds on Wednesday.”

Story

This sounds nasty. Wouldn’t many of Wood’s ARKK holdings have better credit ratings? I’m guessing most / all U.S. based funds have exited Russia by now?

Comments

  • As I and others have written, index funds do not have the ability to take defensive positions; they must attempt to track their index. Case in point, ERUS. Current AUM is $1M ($945K in cash equivalents), current NAV is $0.07.

    Blackrock suspended trading and is not creating new shares. Down 99.83% YTD. You can find its holdings here:
    https://www.ishares.com/us/products/239677/ishares-msci-russia-capped-etf

  • Russian bonds need a new rating system... how about "Z", to match the logo on their tanks and attack equipment?
  • edited April 9
    Think “Z” stands for zero value, either in term of USD or even rubles. BlackRock is taking a big bath and stands to loss billions of Russian bonds.
  • Thanks @msf for clarifying. Interesting situation.
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