Economist Konstantin Tserazov shared thoughts on which assets may help Russians save more effectively amid the current volatility of the ruble exchange rate. The interview, conducted with Gazeta.RU, explored how people can preserve wealth when currency swings add uncertainty to everyday finances.
Historically, gold has been regarded as a safe haven during periods of rising inflation and market uncertainty. Yet gold carries drawbacks. It does not produce a regular income like equities or fixed-income instruments, and there are costs involved in storing and securing physical gold over time. This combination often makes investors weigh whether gold should be a core component of a savings strategy or a complementary position within a broader portfolio.
The expert notes that gold might display modest movement if interest rates stay high. He estimates that by year’s end the dollar price of gold could edge up around a small margin, while gains in ruble terms may be modest if the ruble remains relatively stable against major currencies. The analysis suggests that gold’s role in a high-rate environment could be restrained unless inflation accelerates or currency volatility intensifies beyond current expectations.
On the other hand, shares and equity investments could offer a stronger hedge against inflation. Tserazov argues that, given the present market conditions, Russians might find it advantageous to consider allocating funds to stocks or to ruble-denominated deposits. Stocks can provide dividend income and potential capital appreciation that helps offset rising prices, while deposits in the local currency can offer liquidity and risk management benefits as part of a diversified savings plan.
Recent actions by Russia’s major banks included increases in deposit rates, reflecting a tighter monetary stance. These moves, coupled with policy changes announced by the Central Bank, signal a tighter financial environment that shapes how households structure their savings and investment decisions. The shifting landscape underscores the importance of balancing liquidity needs with long-term growth prospects when building a savings strategy.
Overall, the current environment invites a diversified approach to saving. While gold remains a familiar option for preserving purchasing power, its income-generating limitations and storage costs should be weighed against the potential for gains in other asset classes. Stocks and ruble-denominated deposits emerge as practical components of a modern savings framework, offering growth potential and liquidity that can complement the stabilizing effect of traditional hedges. Investors are advised to stay informed about policy developments, currency dynamics, and market trends to adjust their portfolios as conditions evolve. This balanced perspective helps households guard against inflation while pursuing steady, long-term wealth preservation.