Russia ETF May Be At Mercy Of Presidential Elections
December 5th at 12:00pm by Tom Lydon
Presidential campaigning in Russia may put pressure on on the Russian related exchange traded funds (ETFs). After parliamentary elections on December 2, Putin’s party had a landslide victory, showing a sign of trust and affirmation for his rule, reports Henry Meyer and Sebastian Alison for Bloomberg. Now that Putin must step down in May, he is searching for a viable successor who may be willing to let him continue to lead.
After eight years as president, Putin is trying to find a way around the constitutional limit of two terms in a row. Perhaps this could be done by running things form a "lower perch". Putin’s inability to clarify his plans is raising concern over a destabilizing struggle in trying to manipulate or push aside a successor who doesn’t co-operate.
The political situation in Russia will be worth keeping an eye on and how it may affect Market Vectors Russia (RSX). RSX is up 27.3% since its May launch.
