Financial screws turned on Russia as insurers exit, London stocks halted

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The London Stock Exchange suspends global depositary receipts for eight Russian companies, while trade credit insurers pull back from covering businesses exporting to Ukraine and Russia. RussiaUkraineCrisis

In another turning of the screws on Moscow, trade credit insurers, who provide a financial safety net for exports and imports, are pulling back from covering businesses exporting to Ukraine and Russia given the risks of sanctions, high claims, or missed payments, industry sources said.

“For its part, Washington will continue to embrace multilateral sanctions, [and] target the wealth of Russian oligarchs as part of a pressure campaign,” Isaac Boltansky, policy director for brokerage BTIG, wrote in a note on Friday.British insurer and asset manager Royal London became the latest Western investor to say it will sell its Russian assets as soon as possible, after a rush of similar announcements in recent days.

The CEO of another major British investment group, Schroders, said on Thursday Russian stocks and bonds are now “in the realms of utterly uninvestable.”

 

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