Innovative Financial Tools Used for Hedging Russian Banks’ Investment Risks under the Conditions of Unstable Economy

Abstract:

The authors have analyzed the major steps in the investment process of banks, typical mistakes investors make in terms of this process, and developed methods for hedging relevant risks by complex introduction of innovative financial instruments into the portfolio (coupon bearing federal loan bonds (OFZ-PK) and federal loan bonds with indexed face value (OFZ-IN)) and by using algorithms for flexible investment horizon of other innovations.

nsdlogo2016