J.P. Morgan Asset Management's (JPMAM) Richard Titherington has pointed to the prospect of increased dividend payments from Russian firms as a key driver of performance.
Six months ago, the Russian government introduced rules forcing state-run companies to pay 25% of net profits to shareholders, and has floated a plan to increase the threshold to 35%. Last week, energy company E.ON Russia saw its share price rise 9.4% in a single day after it announced it will transfer 100% of 2012's net profit to shareholders. "We are sticking with Russia because significant dividend payouts from Russian companies are coming up; this will support the market and reduce investor scepticism," said Titherington (pictured), co-manager of the £853m J.P. Morgan Emerging Mar...
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