Troika Dialog

Troika Dialog

Type	Private
Industry	Finance and Insurance
Founded	1991
Headquarters	Moscow, Russia
Key people	Ruben Vardanian, President
Products	Investment Banking
Net income	$200 m
Website	www.troika.ru

Troika Dialog (commonly referred to as "Troika") is an independent full service integrated investment bank and asset management firm in Russia and the CIS. Since the company’s founding in 1991, Troika Dialog has developed its core lines of business: securities sales and trading, investment banking, private wealth and asset management, retail distribution and alternative investments. The company focuses on markets in Russia and other CIS countries.

Troika Dialog operates in more than 20 cities in Russia plus offices in London, New York, Kiev, Almaty, and Nicosia. Troika’s clients include leading Russian and international companies, financial institutions, government agencies and high net worth individuals.

Business Lines

Capital Markets

Equities. Troika Dialog claims to be the leader in Russian equity sales and trading.^{[citation needed]} Its dominant market share principally comes from trading on behalf of a wide range of clients around the world. Troika’s equity desk serves global and domestic institutional investors and hedge funds as well as corporate investors and private individuals. Troika Dialog makes markets well before the open in Moscow and continues to make prices through the close of New York trading.

Fixed Income. Troika Dialog is the most active operator on the secondary ruble bond market and a highly active participant in the secondary Eurobond market.^{[citation needed]} The company provides its clients with custody and clearing services for debt instruments, including settlement and clearing facilities DVP Euroclear. Troika Dialog plays an active role in the Ukrainian and Kazakhstani debt market and provides services for organizing bond issues.

Derivatives and Structured Products. Troika Dialog, as the founding trading member of the RTS-FORTS index futures, continues to develop its role in the Derivatives market place. The company provides trading liquidity in Russian index futures, index options and stock options that trade in London or Frankfurt. Troika’s Structured Products Group is focused on three main areas: issuing platforms with an extensive use of derivatives, hybrid debt instruments with equity participation structures, and securitization.

Treasury. Troika Dialog Treasury’s key line of activity is hedging currency, interest rate and commodity risks faced by clients. Troika also provides corporate clients with short-term funding through REPO. Also, companies may place temporarily available funds through reversed REPO to get additional income.

Research

Troika Dialog’s Research department claims to have one of the largest professional teams of analysts covering the CIS capital markets with the widest company coverage and the broadest range of products. Troika’s analysts offer analysis on all aspects of the region’s capital markets and industries. The Research team combines a range of nationalities with experience in international markets. Troika’s analysts actively monitor over 300 companies and provide in-depth analysis of 150 of the most important listed Russian, Ukrainian and Kazakh firms. The company’s research product range includes equity, fixed income and options coverage through a broad range of publications which include market dailies, strategy and economic monthlies, long term thematic industry pieces and individual company desknotes or reports.^{[citation needed]}

Investment Banking

Troika Dialog provides M&A services, including mergers, sell and buy-side advisory, leveraged buyouts, joint ventures, strategic alliances, and fairness opinions. Troika Dialog is the leading house in Equity Capital Markets providing clients with consultation, products and services related to equity and equity-linked transactions. It is also one of the most prominent participants on Russia’s debt capital markets, providing clients with services from arranging and leading primary bond issues to secondary market trading and in-depth Fixed Income market research. Troika has managed and been involved in the largest and most visible transactions by Western and Russian companies, both blue chip and rapid growth issuers, such as RAO UES of Russia, Russian Railways, AvtoVAZ, KamAZ, Sukhoi Aviation Corporation, Novorossiysk Commercial Sea Port, Power Machines, NOVATEK, URSA Bank, Vozrozhdenie Bank, Vimpelcom, IBS, Pharmacy Chain 36.6, Wimm-Bill-Dann, Nidan, World Class, Fortum, among others.^{[citation needed]}

Asset Management

Founded in 1996, Troika Dialog Asset Management (TDAM) is a leading Russian asset manager. The company offers mutual funds, individual accounts and other financial services to private investors, insurance firms, pension funds and major companies. TDAM is one of the largest managers of domestic Russian mutual funds and has been a consistent industry leader in product innovation since its inception. Troika Dialog Asset Management services a number of state funds: the State Pension Fund of the Russian Federation (within the pension reform), the Deposit Insurance Agency, the Federal Public-State Fund for the Protection of Investors’ and Shareholders’ Rights, and the Cumulative Mortgage Housing Provision System for Servicemen in the Armed Forces. A founding market player in Russian Private Banking, TDAM has preserved its leading positions throughout the history of this market.^{[citation needed]}

Personal Investments and Finance

Troika Dialog provides customer service to wealthy mass clients, offering a range of products: mutual funds, internet trading, individual brokerage, managed accounts, equity funding and pension savings management. Troika Dialog is a leader on the mutual fund market and was the first in Russia to offer a unique^{[citation needed]} product – “Troika Dialog – Life” – investment-based life insurance. In addition to the company’s own client service network, Troika Dialog has developed a network of agent banks.

Alternative Investments

Troika Capital Partners (TCP) is an alternative investment arm of Troika Dialog, one of the leading Russian investment banks. The group manages over $800m in PE and VC funds on behalf of the diversified group of LPs, including banks, FoFs, insurance companies and family offices. TCP predominantly invests in later-stage development and buyout situations. The primary focus is consumer-driven and technology enabled sectors.^{[citation needed]}

Membership

Troika Dialog’s top-managers frequently feature as guest speakers and panelists at international economic forums and universities and are members of leading governmental and nongovernmental organizations, including the World Economic Forum (Davos), the Russian Union of Industrialists and Entrepreneurs (RSPP), the 2015 Club, The American Chamber of Commerce, the US-Russia Business Council, the Federal Commission for the Securities (FCSM), the National Association of Securities Market Participants (NAUFOR), the Russian Trading System (RTS), the National League of Asset Managers and the Depository Clearing Company (DCC). Stock exchanges membership includes: MICEX, RTS (including FORTS), MSE, SPBEX, SPCEX, LSE and PFTS.^{[citation needed]}

Structure

Troika Dialog is privately owned by 109 employee partners. In March 2009, the company announced a strategic alliance with Standard Bank Group under which Standard Bank will become a 36% shareholder in Troika Dialog.

The Russia Forum

Since 2008 Troika Dialog organizes annual three day forum held in Moscow – “The Russia Forum”. The Forum follows a similar format to that of the Davos meeting of the World Economic Forum (WEF) in bringing together representatives of the international investor’s community, Russian political and business leaders, public figures, celebrities and media to discuss Russia’s involvement the challenges facing Russia and the global economy

Sources

• SEC Press-release
• Troika's press-release
• Article in Vedomosti (in Russian)

External links

• Official web-site