ALEXEI VEDEV: THE RUSSIANS WOULD RATHER CONSUME THAN SAVE
In his interview to the Sputnik Radio Station, Alexei Vedev, Leading Researcher of the Gaidar Institute spoke about the most popular saving instruments in Russia.
Bank deposits are the most popular, but less efficient instrument of saving funds for old age in Russia. According to Alexei Vedev, people should pay attention to other saving instruments which are used all over the world, but not in Russia.
“A bank deposit is still the most popular saving instrument in Russia, though I personally prefer securities, that is, shares and bonds.
Also, there is another effective instrument, which is currently neglected, that is, mutual investment funds (MIF). This instrument is widely used all over the world, but is ignored in Russia. I would advise to use it, but only at a reliable bank” the economist explained.
The Russians have their own priorities, Alexei Vedev notes.
“The Russians tend to save funds for education, retraining and a career change. As regards savings for old age, even with taking into account the fact that the 2004 pension reform has failed, one should make savings one way or another for old age.
The main motive of such savings is prudence. As regards savings for other purposes, the intent is not very big. The Russians would rather consume than save”, Alexei Vedev believes.
“A bank deposit is still the most popular saving instrument in Russia, though I personally prefer securities, that is, shares and bonds.
Also, there is another effective instrument, which is currently neglected, that is, mutual investment funds (MIF). This instrument is widely used all over the world, but is ignored in Russia. I would advise to use it, but only at a reliable bank” the economist explained.
The Russians have their own priorities, Alexei Vedev notes.
“The Russians tend to save funds for education, retraining and a career change. As regards savings for old age, even with taking into account the fact that the 2004 pension reform has failed, one should make savings one way or another for old age.
The main motive of such savings is prudence. As regards savings for other purposes, the intent is not very big. The Russians would rather consume than save”, Alexei Vedev believes.