Tinkoff Investments Halts US and Hong Kong Share Trading Amid Sanctions

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Broker Tinkoff Investments has halted trading in shares issued by United States and Hong Kong companies. Editors at socialbites.ca observe that it now appears impossible to buy these securities through the broker.

When investors attempt to acquire securities of American issuers, the trading terminal shows a notification about a temporary suspension. The same message appears for shares of Hong Kong companies, signaling a broad halt in access to these markets through the platform.

This move follows action from the U.S. Treasury Department, specifically its Office of Foreign Assets Control, which added the St. Petersburg Stock Exchange to its sanctions list. In the wake of that designation, the stock price of the affected listings declined by about 20 percent, landing at 127 ₽.

At 17:55 local time, the St. Petersburg Stock Exchange issued a formal statement announcing a suspension. The exchange stated that as of 18:00 Moscow time on November 2, 2023, applications and repo orders would not be accepted in any transaction mode, and agreements including repurchase agreements could not be executed based on the specified applications and repo orders linked to securities. Settlement codes would be affected as part of the suspension.

Both companies earned inclusion on the UDN SDN list, a designation that entails restrictions from the dollar system, potential asset freezes, and a prohibition on cooperation with American entities.

Earlier reports linked these developments to concerns about attribution and responsibility, with some sources noting concerns about what may be perceived as policy missteps affecting market access and investor outcomes.

Notes for readers: policy actions and sanctions can produce rapid shifts in trading access and price dynamics. Investors may want to monitor official statements from the exchange and regulatory authorities for the latest guidance and to understand how these measures could influence portfolio decisions. [citation attribution]

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