Jim Rogers says invest in Russian market

Famed investor Jim Rogers suggests the Russian market may be undervalued and could present significant opportunity for investors. Rogers stated that after a recent visit to Russia he came away impressed with progress influenced by the actions of President Vladmir Putin. Although referring to Putin as a criminal, he felt Putin realizes he must do things differently. Rogers cited a pool of billions of dollars the government has set aside for investments to be made alongside private investors. He cited his own assessment of the low valuation of the Russian market along with an unfortunate concentration in oil and gas.

Rogers is not yet invested in the Russian market, but is considering it after observing the country's ebb and flow for the better part of twenty years. He believes the country has learned its lessons from the past and should be a better investment in the future. Rogers says he is interested in buying the ruble.

CNBC also quoted Todd Berman, Head of Investment Banking at Troika Dialog, as having said that Russia's recent entry into the World Trade Organization is a major accomplishment which will help advance reforms that should propel the Russian economy forward.

Rogers commented on the United States in the context of the upcoming election. Making the claim that the biggest difference between the two candidates is "one comes from Chicago and the other comes from Boston" he sees no fundamental difference in how things will be in the States post-election. His outlook is fundamentally negative and his interest in the Russian market is evidence of the ongoing need for investors to look to emerging markets for future investment returns.

Given Rogers negativity toward the U.S. and his recent and increasing interest in Russia, if he is proven correct, then both RSX and RSXJ may be good candidates for investment. If Russia, which has been less affected by European woes, can continue with a proactive agenda of reform and investment, there is no reason the "undervalued" Russian market cannot flourish.

Jim Rogers: Is World Currency War Causing Global Market Meltdown?

Some quotes:
“The U.S. dollar is not a safe haven, if you ask me, but I do own it.”

“Agriculture prices [are] getting banged right now. I am kind of planning on buying Swiss francs, more dollars and agriculture.”

On China “They’re doing their best to cool things off … I expect them to continue to do it, and that is causing more slowdown around the world.”

“The major problems are coming from the west," “They are coming from Europe and the [United States]. We are much worse off than we were in 2008 because the debt has gone through the roof.”

“At least in 2008 there was the possibility that the governments could bail us out. Now, of course, the governments have gotten deep, deep, deep into debt themselves,” “Everybody is in much worse shape.”

“Brazil sort of ignited a trade war [by putting a 30 percent import tariff on China and Korea ]. And right now China is trying to get the Europeans to let them open up the trade with China more. The Europeans are saying no, so China is saying, 'No, we won’t bail you out.'"

“I hope the trade war doesn’t break out" because throughout history when it does it has "caused depressions,” Jim Rogers added. “You saw what happened in the 1930s. It led to depression and it also led to war. So I hope it can be contained.”

Jim Rogers attacked Ben Bernanke stating, "is killing the people who save and invest, and that's really hurting a very, very large part of the population."