The Russian-Ukrainian conflict escalated into a war. In this context, we are introducing several preventive measures with immediate effect.
The scope of preventive measures
There are currently 27 lenders on Bondster, two of which are from Russia – Kviku and Lime Zaim. None of our providers is from Ukraine. Increased monitoring and introduced preventive measures therefore apply to Russian providers only.
Adjustment of preset investment strategies
For maximum protection of investors who prefer automated investing, we have temporarily excluded loans from Russian providers from preset investment strategies. Russian loans that have been invested in by preset investment strategies prior to this will continue to be repaid as usual.
The Bondster platform places great emphasis on thorough initial inspection and subsequent regular monitoring of all providers on the platform. In the context of current events, we have decided to pay more attention and monitor Russian providers and related events on a daily basis.
Primary and secondary market unchanged
After a thorough assessment of the current situation, loans from Russian providers on the primary and secondary markets remain unchanged. The Russian financial system is currently not significantly affected by the situation and Russia remains part of the international payment system (SWIFT). Even if Russia was excluded from the SWIFT payment system, it should not have a major impact on loans on our platform as both Russian providers transfer financial capital through companies based outside the Russian Federation.
We are in daily contact with both Kviku and Laim Zaim; both companies are also hedged against exchange rate risks. The current decline of the Russian Ruble, which is about 11% at the moment, is far less severe than the 33% decline during Covid, which our investors did not feel in any way. However, it is still each investor’s responsibility to decide whether and to what extent they will include investment loans from Russian providers in their portfolio as part of their diversification strategy.
We will continue to closely monitor the situation in Ukraine and Russia and keep our investors informed. Should you have any additional questions, feel free to contact us.
Author: Michal Rázga
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