Stock market volatility helped earn not only the Moscow stock exchange, but brokerage firms. According to “Kommersant”, their revenues from licensing activities increased in the first quarter by 40%, which also contributed to a substantial increase in net profit. The second quarter could also be better than the same period last year.The first quarter of 2020, despite a noticeable drop in the stock market has proven to be successful for brokerages who earned growing interest of private investors in depreciating assets. According to “Kommersant”, during the reporting period, the revenue of Russian brokerage companies (excluding banks) from customer service increased by 40% compared to the same period last year and exceeded 9.6 billion RUB, the company Informed the Moscow exchange showed a record quarterly result of Commission income, which exceeded RUB 7.9 billion, an increase of 29% (see “Kommersant-Online”, of 15 may).Based on reports, most fully disclosed figures, the main income they brought a brokerage Commission (to almost 72% of total revenue). A number of companies (“Ah Ti invest”, “Aton”, “Merrill Lynch securities”) showed revenue growth of two to five times. The growth showed a Commission on the stock market, other segments — term, currency and commodity markets, the Commission in the first quarter declined. In addition, over the past three months brokers almost three times increased revenues from the placement of securities (up to 310 million rubles), but decreased by 18% revenue from market-maker services (up to 101 million rubles).Despite the steady growth of income of the brokers, for the last quarter, their net profit increased by only 8%, to RUB 1.3 billion, the Result could have been higher if not for the net loss of “Sberbank CIB” in the amount of 1.62 billion. However, a number of brokerage companies are members of financial groups with banks, which also provide brokerage services. As explained in the savings Bank, the loss of “Sberbank CIB” “is mainly related to intragroup operations.” A total group revenue of the savings Bank from the brokerage business for the quarter grew three times. As noted by the head of Department of broker service of VTB Vladimir Potapov, the revenue of “VTB Capital Investment” from brokerage activities has grown more than twice compared to the same period last year, to 2.7 billion rubles. Director of investment business “Tinkoff” Dmitry Panchenko said that the Commission income of the group from the activities of “Tinkoff Investments” for the first quarter of 2020 increased seven times and is 835 mln RUB revenue Growth and momentum brokers inextricably linked to the volatility in the markets. According to the Moscow exchange in the first quarter the number of private investors increased by more than 700 thousand to 4.6 million According to “Kommersant”, the account balances of companies, Rask��yuchih extensive reporting for the quarter grew by almost 30%, to 178 billion rubles, the General Director “Atona” Andrey Zvezdochka did said that the company managed to increase all key business indicators: growth target wealthy clients in the first quarter was 62% and the net of borrowing has increased 2.4 times. But as the Director of the brokerage business “BCS” Oleg Chikhladze, financial results determined in the basic old customers.The second quarter is likely to not be as good for brokers, but certainly better than the same period last year, you evaluate brokers. Starting in may the enthusiasm of customers gradually fades away, momentum securities and the interest of private investors return to average values, says Oleg Chikhladze. In addition, brokers will form part of the losses on the execution of the April oil futures at a negative price (see “Kommersant” on 14 may). The head of Department on work with key corporate clients of “Finam” Alexander Birman noted that this situation affected the customers of the company, so profoundest making efforts to address the consequences of the incident taking into account the interests of all parties.Polina Smorodskaya, Dmitry Ladygin
