TendenciesInvestors of last turn
a paper of week
the brightest security of the past week of a steel of the bond of Sodbiznesbanka. After the Bank of Russia has withdrawn the general licence at bank and has entered acting administration (p. 14 see and from May, 14th), quotations of its papers have failed downwards. If on Thursday, after occurrence of this news, at a stock exchange only there were demands for purchase of the given bonds at the price of 50 % of face value on Friday have already taken place transactions at the close prices (51 - 58 % of face value).
we Will notice that formally the bank does not refuse the obligations. However actually its securities are close to a condition of a technical default. At payment of the coupon which should take place on May, 25th, under the law the bank cannot pay off with owners of bonds any more. Representatives of Sodbiznesbanka declare readiness to challenge Central Bank action in court. But how much it will help owners of bonds - not clearly. Participants of the market do not envy them, considering that the bank waits bankruptcy procedure. And then owners of securities will appear among creditors of the fifth turn with rather low chances to return the investments. So those who has sold in a weekend these securities at half price, can quite be the winner in comparison with remained owners.
about other tendencies in the share market and bonds materials see p. 20.