The world financial community has never heard the old phrase “Fool me once, shame on you; fool me twice, shame on me.” Russia, which will inevitably blow up, face another political meltdown, or break the hearts of foreign investors by seizing their wealth, is once again attract greedy bankers looking for the next big score.
The Independent: Banking giant Barclays is spearheading a new British invasion of Russia’s high street, according to one of its most senior bankers, as relations between the two countries bounce back from last year’s low point.
Barclays, as well as rival HSBC, have become increasingly visible across central Moscow with new branches and high-profile advertising as part of a move to aggressively expand in Russia’s major cities.
Hans-Joerg Rudloff, chairman of Barclays Russia and the investment banking arm Barclays Capital, said the group was making significant capital and trading commitments to Russia in light of an improving investment climate.
This is really the “risk-trade” writ large. There are so many pitfalls here, yet just a few months after all of these firms seemed on the brink of insolvency they’re bank playing in one of the diciest markets. Good luck boys.