Over the last 10 years, market capitalization volume of all Russian companies that have been or have become public has doubled, from USD 300 to just over 600 billion. But in fact, it is a rather sad result, because over the last ten years a lot of companies became public, and other markets would show a much greater result. <...> The impact of international sanctions on the capital market cannot go unnoticed. But this is not the only reason for the market to be significantly undervalued — .
To some extent I treat this decade as a decade of missed opportunities. First of all, the institutional trust of the investment community to Russian issuers suffered over this time. Secondly, local pool of institutional investors was never created, while this is a very important thing for developing any market. Russian issuers still remain utterly dependent on the demand for Russian assets from the international global investment community — .
The circle of foreign investors has narrowed, especially over the last few years. Basically, now the only funds that are looking at Russia are the ones investing in emerging markets. This is the result of the sanctions driven risk, as well as the result of investors generally becoming more selective. Right now, an IPO is significantly more difficult than it was in 2006–2007 or 2011–2012. As a result, valuation of Russian companies dropped — .