Brokerage services are moving into Dom.RF – Kommersant FM

Bank Dom.RF plans to provide brokerage services. In January 2024, the company intends to create two mutual investment funds with a conservative strategy, the head of the corporation, Vitaly Mutko, told Interfax. He clarified that more than half of the holding’s income comes from the bank; now its capital has reached 250 billion rubles. Assets exceed 2 trillion rubles.

Will brokerage be a promising area for the bank? At least it has the potential for this, notes financial market expert Andrei Barkhota: “The direction of brokerage services for the Dom.RF bank, however, as for the state corporation Dom.RF itself, is quite complementary and quite promising direction.

Among other things, the credit institution became the leader in the growth of household deposits in 2023, more than 80%. Naturally, with such dynamics, some diversification of the passive base is required.

In this case, some clients in the wealthier, more profitable segment may be interested precisely in investments, that is, in brokerage services, and not in classic deposits at fairly high rates.

“Dom.RF” announced the possibility of using mutual funds. There may be a set of financial instruments also related to real estate, assets, and developers. Previously, a direction called “rental housing” was rapidly developing. It involved the creation of a large network of apartment buildings, rental housing in Russia and the packaging of financial instruments in the form of closed mutual investment funds, which were precisely dependent on the flow of rental payments.

Here this project can not only be revived, but also designed for a wide range of profitable clients, including individuals. Therefore, this direction could really be interesting.”

Will the company be able to attract clients as a broker? This will largely depend on the marketing and convenience of Dom.RF services, independent financial advisor Natalya Smirnova emphasized: “This is not the situation in 2022, when all professional participants were divided into those subject to sanctions and those who were not affected by the restrictions. The latter had the opportunity to provide access to foreign securities.

We still have players who, through their infrastructure, bypassing the St. Petersburg Exchange, transfer assets to America. But still, people already have risks; a blockage could happen at any moment. Therefore, now, de facto, all professional participants – both sanctioned and non-sanctioned – have equal rights.

If we talk about choosing a professional participant, then many clients can choose him based on the principle of reliability. But, of course, a lot depends on the implementation. This will be a reliable broker, but there must also be a user-friendly application and appropriate marketing. Here we need to focus on making sure that everything is straightforward and primitively understandable, so that no questions arise at all.

If “Dom.RF” as a broker offers predominantly conservative strategies, in which investors who have already suffered will definitely not face any losses, but will receive good returns (we are mainly talking about bonds), then there is a chance to win over the audience.”

In addition, according to Vitaly Mutko, Dom.RF intends to expand its private banking business. Now in this segment, according to the Forbes rating, the company ranks tenth in the country.

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Daria Fomenko