The Central Bank of Russia published an analysis of the retail investment market, concluding that the sharp increase in household participation in recent years has not led to an accumulation of systemic risks. Although non-qualified retail investors make up the majority of investors, market conditions and resilience are driven mainly by qualified investors, who account for the largest share of trading. In 2025, qualified investors acted countercyclically by reducing investments during market rises and increasing them during downturns, helping to curb price volatility. Liquidity and resilience have also been supported by growth in the number of investors with small and medium-sized portfolios. Retail investors tend to favour blue chips and investment-grade bonds and have been adding instruments to diversify, but demand remains concentrated in securities of financial and oil and gas companies and in government bonds, indicating low sectoral diversification that the central bank says should be increased to mitigate potential negative effects on returns across market cycles.
Central Bank of Russia 2026-03-13
Central Bank of Russia concludes retail investment growth has not created systemic risks
The Central Bank of Russia's analysis of the retail investment market finds no systemic risks despite increased household participation. Qualified investors, who dominate trading, have acted countercyclically, stabilizing price volatility. The bank notes a need for greater sectoral diversification among retail investors, who currently favor financial, oil and gas securities, and government bonds.