Diversifying your portfolio allows you to take advantage of stronger currency in other countries, as opposed to the fluctuating value of the United States dollar. It can be risky, but, as any investor knows, sometimes the risk is worth the reward in the long run.
Buying Russian Bonds Directly
Step
Contact a Russian investment service to determine at which interest rate you'll be purchasing the bond. Some examples include Troika Dialog, Finam, Renaissance Capital Investment Group and REGION Group. More information on these Russian companies can be found in the Resources section at the end of the article. According to Investment U, buying foreign bonds more directly allows you to collect a higher interest rate.
Step
Research the minimum purchase amount for the country of interest. Depending on the market, purchasing bonds from Russia could be more or less expensive than purchasing from another country.
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Finalize the transaction with your foreign investment agent in Russia. You should receive some type of notification or certificate of purchase that proves your most recent investment.
Buying Russian Bonds in the United States
Step
Contact a broker or broker agency, such as Fidelity, Schwab or Everbank (see Resources) and inform them that you're interested in purchasing Russian bonds. If you're a new client, you might have to sign up and pay some type of processing fee or enrollment cost.
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Verify that your broker has the ability to purchase foreign bonds, as some don't do this type of investing, due to high-risk and low demand. Some are willing to assume the risk and some aren't. The easiest way to verify if your agent takes part in this practice is to simply ask.
Step
Purchase at least the minimum set forth by your broker. If the price is too high for your budget, your broker might be able to buy one year T-bills in the same currency with lower purchase minimums. T-bills, or treasury bills, are more short-term, so there is no interest paid before maturity.
