Exchange-Traded Funds (ETFs) are a popular investment vehicle for stock traders who want exposure not to a single security, but to an entire sector—or even a national economy.
Why invest in ETFs—and which ones are available on the Moscow Exchange?
Why Invest in ETFs
ETF investing offers several key advantages:
- Some foreign stocks require Qualified Investor status to purchase. No such status is needed to buy any ETF listed on the Moscow Exchange.
- Buying a single share of Amazon costs several thousand dollars. ETF shares—including those holding Amazon and similar stocks—are accessible even to investors with modest capital.
- ETF shares are highly liquid, enabling timely portfolio rebalancing and efficient capital management.
- A broad range of ETFs allows meaningful diversification across asset classes, geographies, and sectors—reducing concentration risk.
- ETFs traded on the Moscow Exchange can be purchased via an Individual Investment Account (IIS). Long-term holdings also qualify for tax benefits under Russia’s long-term investment regime.
Which ETFs Are Available on the Moscow Exchange
As of early 2021, 129 ETFs were listed on the Moscow Exchange, offering exposure to:
- Bonds and Eurobonds;
- Money market instruments;
- Equity markets;
- Gold;
- Mixed-asset strategies.
Among the most widely held ETFs are:
- US Large-Cap Equity ETF FXIT: Tracks major US “blue-chip” stocks including Microsoft, Apple, IBM, Visa, and Intel. FXIT has delivered some of the highest returns among domestic ETFs.
- US Broad Market ETF FXUS: Provides diversified exposure to the most reliable constituents of the US S&P 500 Index, enabling investors to gain broad US equity market exposure without buying individual stocks.
Learn more about FXUS. - US Technology Sector ETF FXIM: Fully invested in leading US-listed technology and IT companies. Shares of FXIM offer cost-efficient access to the tech sector versus purchasing each stock individually.
- Gold ETF FXGD: Offers direct, exchange-traded exposure to physical gold—a traditional safe-haven asset especially valuable during market volatility. FXGD is the simplest way for Russian investors to allocate to gold.
Learn more. - China Equity ETF FXCN: Gives access to the world’s second-largest economy. Many top Chinese firms list on US exchanges; FXCN tracks the largest and most liquid among them.
Learn more about FXCN. - Germany Equity ETF FXDE: Focuses on German equities—the economic engine of the Eurozone. Despite pandemic-related headwinds, Germany’s relatively strong recovery outlook makes FXDE an attractive regional allocation.
- Russian Equity ETF FXRL: Includes top-tier Russian blue-chip stocks, enabling small-capital investors to gain diversified exposure to the Russian equity market.
Learn more about FXRL. - And others.
Investors on the Moscow Exchange have access to a wide selection of ETFs—enabling them to build portfolios spanning global equity markets, commodities, fixed income, and thematic exposures.
FAQ
Do I need Qualified Investor status to buy ETFs on the Moscow Exchange?
No. Unlike many foreign stocks, all ETFs listed on MOEX are available to retail investors without special accreditation.
Can I buy MOEX-listed ETFs through an Individual Investment Account (IIS)?
Yes. ETFs traded on the Moscow Exchange qualify for both IIS Type A (tax deduction) and Type B (tax-free growth), plus long-term holding benefits.
Are MOEX ETFs denominated in rubles or foreign currency?
Most MOEX-listed ETFs are quoted and settled in RUB—but their underlying assets (e.g., US stocks, gold) are priced in USD or other currencies, introducing FX exposure.
