OREANDA-NEWS One of the reasons that Russians brought money to the stock market was the decrease in the attractiveness of bank deposits. This was stated by Yaroslav Kabakov, Director of Strategy at Finam IC, lecturer at the Higher School of Business of the National Research University Higher School of Economics. He was quoted by Izvestia.

He commented on the data that in the third quarter, retail investors deposited 872 billion rubles into brokerage accounts, which was a record inflow since the beginning of 2021. As Kabakov explained, the fall in deposit rates amid the easing of the monetary policy of the Bank of Russia forced the population to turn to alternative ways to maintain profitability. As a result, citizens have become interested in bonds that benefit from a reduction in the key interest rate.

According to Kabakov, if the regulator continues to follow the chosen course, the inflow of money to the stock market will continue.

"Reducing interest rates traditionally increases interest in the stock market, and with stable inflation, relatively predictable geopolitics, and attractive yields on bonds and dividend stocks, growth may continue," the economist stated.

According to the Central Bank, in the third quarter, the inflow of funds from retail investors deposited into brokerage accounts increased by 52 percent compared to the second quarter.