Wealth Manager - the site for professional investment managers

Register to get unlimited access to all of Citywire’s Fund Manager database. Registration is free and only takes a minute.

BlackRock's Fink: Russia is losing an economic war

BlackRock's Fink: Russia is losing an economic war

BlackRock's chief executive Larry Fink has warned that Russia is on even shakier economic foundations as the Ukraine crisis rumbles on.

In an interview with the Sunday Times, Fink warned Russian president Vladimir Putin that he cannot 'play games' if he wants access to western capital. He also anticipates the sell-off in Russian equities may have calmed Putin's motivation to push troops towards Kiev. 

'In one single day, the capital markets crushed Russia. In one single day, the stock market was down 12%, and so 23% for the year.

'The leader of that country had to be concerned. The whole economic foundation of Russia was already shaky, and it made it much more shaky. I think it was the market reaction that changed ' Fink told the Sunday Times.

He stresses Russia's dependency on energy and the fact it has been hit with capital outflows over the past few years.

'They just finished trying to rebuild themselves through [the winter Olympics in] Sochi and the marketplace has said that if you play these games you are not going to have our capital. Instead of having physical war we had economic war. And in one day, Russia lost,' Fink said.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Brewin's Gutteridge & Foster talk property with Standard Life's Baggaley

Brewin's Gutteridge & Foster talk property with Standard Life's Baggaley

Gutteridge and Foster discuss UK commercial property with Jason Baggaley, manager of the Standard Life Property Income investment trust

Brewin's Gutteridge asks Odey's Tim Bond two tough questions

Brewin's Gutteridge asks Odey's Tim Bond two tough questions

Gutteridge puts the heat on Odey's asset allocation maestro with a couple of tough questions.

Brewin's Foster & Gutteridge: searching for the yield of dreams

Brewin's Foster & Gutteridge: searching for the yield of dreams

Guy Foster and Ben Gutteridge discuss the latest upbeat US payroll report and how it has increased the probability of a first hike in interest rates in June.

Your Business: Cover Star Club

Profile: Creechurch Capital’s CEO on going the extra mile in a crowded market

Profile: Creechurch Capital’s CEO on going the extra mile in a crowded market

Growing a business is the main aim of many company owners but managing that growth in a controlled way is just as important

Wealth Manager on Twitter