Russia Eases Qualified Investor Rules with Special Knowledge Test

The Bank of Russia has made it easier for citizens to become qualified investors in the country's financial markets. The institution introduced a special knowledge test that individuals can take to gain access to expanded trading activities. This move replaces the previous requirement of holding an international certification, such as a financial analysis or investment consulting degree.

The new rules allow more retail investors to bypass a $3,800 annual cap on cryptocurrency purchases. To become qualified investors, individuals must pass the test and obtain a Qualifin Certificate from the National Finance Association (NFA) or a Moscow Exchange (MOEX) Investor Certificate.

Bank of Russia Governor Elvira Nabiullina justified these restrictions in July, stating that they were put in place to protect untrained investors. 'Non-qualified investors have fewer opportunities because the government, through legislation, tries to protect them to avoid them embracing the risks that they don’t understand,' she said.

The new streamlined opportunity to attain qualified investor status will take effect on August 31.