Choosing the best broker for trading in Russia according to my version

Good afternoon, dear reader!

An ordinary person cannot trade on the stock exchange just like that, only through a specialized company - a broker.

This comes with additional costs for the investor, as a commission must be paid, and with risks, since at some point the company may disappear with your money. That is why it is necessary to choose a reliable organization. Today I want to talk about KIT Finance: this intermediary has proven itself well in the market.

The whole truth about KIT Finance

KIT Finance is a large credit broker. The company website is https://brokerkit.ru/. Clients can contact the company if they have difficulties obtaining a loan from a bank. The broker will become a reliable assistant in solving the problem.

The organization has more than 20 partner banks. If you fail in one, you can always get a loan in another. You can apply with any credit history. In 100% of cases, approval of the treasured amount awaits. The broker receives a kickback for the service - a certain percentage of the loan amount. If the bank's decision is negative, you will not have to pay anything.

The company colorfully describes its advantages.

There are rave reviews.

At first glance, everything is fine with the company. But actually it is not.

Let's check the address - Moscow, Last lane. d.11 p.1.

The brokerage company KIT Finance JSC is located at this address. This is an existing company with offices in Moscow and St. Petersburg. She also has partners in the regions, whose residents can also take advantage of lending assistance.

But, the KIT Finance website is https://brokerkf.ru/. It turns out that the project in question is a copy created for fraudulent purposes.

And there is some evidence for this:

• This company has offices in several cities, the website contains contact information, and information about the company and shareholders is disclosed. There are licenses and financial statements. The fake organization has less information: one address in Moscow (and that belongs to the original broker) and a telephone number. Nothing about license, shareholders, etc.
• The website of the original company fully discloses information about its activities, services, there is a “Customer Support” section and much more necessary to ensure its honesty and reliability. A fake organization has a one-page website with a small amount of information, created using a simple uKit builder with a payment of $4 per month.

On the website of the fake company KIT Finance, license No. 040-06525-100000 is indicated. But a check showed that a company with such a license does not exist.

Another discrepancy is that the check showed that the domain is 191 days old. While the website states that the company has been operating for more than 10 years.

The original company's website contains a warning about cases of fraud associated with the use of the name and logo.

Contacts:

Narrowing the circle of brokers for analysis

If you see an advertisement for a broker, you should understand that this broker is not the only one. There are so many of them now that a month is not enough to study each in detail.

Therefore, I went to the Moscow Exchange website and decided to start looking for a group of brokers for my analysis based on the question that first came to my mind:

Who are these brokers and who have the most active clients?

This is the first question that came to my mind to conduct an analysis. Specifically active clients, because clients can open a brokerage account, but not trade for various reasons.

One of which, by the way, is that the trader just stopped liking the broker.

Accordingly, it is even interesting to look at both lists. I think that just looking at these numbers you can make some kind of primitive conclusion about choosing a broker.

What do you think?

In table No. 1, from the data available on the Moscow Exchange in the public domain, I collected into one table the figures for the total number of attracted clients and active clients.

Table No. 1. Data from the Moscow Exchange website for December 2021

Active clients are those people who have made at least one transaction. And it’s easy to calculate the percentage of active clients from the total number of clients for each broker.

Even Sberbank did not have impressive numbers. See for yourself!

With him everything is clear why there are so many clients. Why be surprised, Sberbank is a state bank. All budget salaries go through this bank. And people associate it with some kind of reliability.

It is unlikely that there will be a situation with Sberbank that periodically occurs on federal channels about the bankruptcy of small banks.

I was more impressed by Tinkoff! And table No. 1 shows that the percentage of active clients is higher than that of Sber:

1. % of active users of the total number of Sberaraven 7.7
2. % of active users of the total number of Tinkoff is 10.5

Well, in positions 10 and 12 there are simply giants unknown to me in terms of the percentage of active clients. The numbers are simply not even close to Sberbank and Tinkoff.

1. % of active users of the total number of GPB Bank is 14,640
2. % of active users of the total number of Alfa Capital is 41,850

In general, the top ten brokers, or rather the 12 best brokers, together with Alfa Capital, attracted the most clients to the exchange, taking the lion's share of the market of potential traders and investors under their wing.

I would also take the Kit-Finance broker into the fight for the title of best broker. Still, his percentage of active clients is 6.0%. And further from the list I want to remove all banks that are also brokers. This means Kit-Finance automatically falls into the top ten.

Above, I looked at the data for December 2021, but according to the data as of May 1, 2021, the leaders have not changed much.

Table No. 2. Data from the Moscow Exchange website for April 2021

But this is not enough to choose a broker. Let's analyze the trading volumes of brokers. From the data on the Moscow Exchange website for April 2021, trading turnover is as follows:

Table No. 3. Comparison of brokers by trading turnover according to the Moscow Exchange

Looking at table No. 3, it is immediately evident that Sberbank is in 10th place in terms of customer turnover.

Sberbank is not such a giant as a broker.

The top three super leaders in terms of transaction value are:

1. Group of companies Region
2. FG BKS
3. Renaissance Broker LLC

Now you can decide on the top 10 brokers who lead either by the value of client transactions, or by clients attracted to the exchange, or by active clients.

So, drum roll, we announce the list.

And by the way, we try to choose those brokers who specialize in this. As practice has shown, banks have much worse customer service.

And it may even be necessary to write a separate article where we can look specifically at the brokers who carry out this activity other than their main one. And the main one is the banking sector.

Overview of contact information and location

The KIT Finance company is considered a 100% shareholder of the European investment firm AS KIT Finance Europe.

The broker's main office is located at: St. Petersburg, 191119, st. Marata, 69-71, block B, 7th floor, Renaissance Plaza business center.

KIT Finance also has a representative office in Moscow at st. Masha Poryvaeva, 34, DC “Domnikov”, block 1, 10th floor, office. 2.

These are real addresses, but customer visits are available by prior registration. To register, call the following numbers:

• St. Petersburg +7 (812) 611 0000;
• Moscow +7 (495) 981 0606.

Opening hours: 09:00 to 18:00 (Monday to Friday only).

In addition, technical and customer support departments operate on the official website brokerkf.ru:

• technical support – skype Brokerkf.support, email;
• customer support – direct contact number 49552, email

Operations on the Russian market through KIT Finance Broker

KIT Finance Broker provides investors and traders with access to exchanges. The user can manage his finances via the Internet and telephone. To work with shares of Russian companies, KIT provides the following tools and exchanges:

• Stock market: trading on the Moscow Exchange market with bonds, shares and fund shares. Transactions with securities can be carried out both on the main sector and on Classica. The first is the main platform for working with shares and bonds of Russian companies. It works in various modes: non-addressed or negotiated transactions, placement and redemption of securities and others. The Classica sector allows you to carry out transactions with securities in dollars.
• Derivatives market: futures and options trading. The assets are commodities, currencies, RTS index, MICEX index, volatility index. To work on the market, it is necessary to deposit 3-20% of the transaction value, which is the client’s security. The exchange commission is significantly lower than on the stock market.
• Foreign Exchange Market: Allows you to convert currencies at the best time or at your own price. The instruments are the most popular pairs: euro/ruble, dollar/ruble, yuan/ruble. The commission is set depending on the turnover (from 0.015%), the exchange commission - from 0.0015% or from 25 thousand rubles.
• Precious metals market: trading in gold and silver is carried out on the Moscow Exchange. There are no time limits, you can hold precious metals for an unlimited time, the minimum lot is 10g of gold and 100g of silver, no loan is provided. Commission 0.2% of the transaction amount.
• Over-the-counter market: transactions are carried out without the participation of the exchange, directly.

KIT finance broker personal account

What services does it offer?

The company in question offers its clients access to the following assets:

• derivatives market (options, futures);
• stock market (units, shares, bonds);
• precious metals market;
• currency market.

In addition, it offers long-term investment services - Eurobonds, one-time transactions for the purchase and sale of shares of large companies, such as VTB and Sberbank, pension savings and other products.

KIT Finance offers access not only to Russian, but also to foreign shares through a subsidiary, which is quite convenient.

Story

The company was registered on February 23, 2000 as Web-invest.ru LLC. In 2004, a subsidiary company, Aktsiaselts Aurora Access Securities, was established in Tallinn, which provided clients with access to trading on the world's main financial exchanges. In 2005, rebranding was carried out, and the company itself was renamed KIT Finance. In 2006, an extensive agent network for brokerage sales was created. In 2011, the company organized a dedicated server for high-speed trading on the MICEX-RTS. In 2012, KIT Finance received a license to manage securities. In 2014, the broker's clients became able to purchase precious metals on the Moscow Exchange. In the same year, KIT Finance was included by the Central Bank of the Russian Federation in the list of systemically important participants in the stock market.

Brief history of the broker and awards

During its existence (since 2000), KIT Finance has taken a leading position in the Russian market. The broker did not always have the name that we know today; initially it was Web-invest.ru LLC.

From the first year, the broker actively developed and gained the trust of clients. In 2005, the company was modernized and received its modern name - “KIT Finance”. In 2008, it successfully overcomes the downturn in the market, and in the same year the owner changes. Already in 2009, the broker received the AAA reliability level.

KIT Finance has a large number of awards, which proves its leading position in the market.

Overview of account types for trading stock broker “KIT Finance”

The KIT Finance company offers you to choose one of four trading accounts.
Let's take a closer look at them. KIT-Standard :

• for active traders;
• minimum number of transactions - 30 per month;
• the commission depends on trading volumes;
• the minimum commission on the stock market is 0.025%;
• subscription fee: 200 rub/month;
• lack of sales assistants and consultants.

KIT-Deal:

• for execution of one-time transactions of purchase and sale of securities;
• maximum frequency of transactions - up to three per year;
• commission - from each issuer;
• subscription fee: 200 rub/month;
• Internet trading system is not used.

KIT-Vip:

• for investors who prefer personal advice on capital management (mainly in international markets);
• daily analytical support;
• Moscow Exchange commission on the main market - 0.0093%;
• individual consulting, assessment of the client’s risk profile;
• constant monitoring of the investor’s portfolio and proposal of trading ideas;
• receiving full analytical support and information on portfolio changes;
• minimum asset size: 6 million rubles.

KIT-Prime:

• for investors who prefer individual transaction support;
• individual consulting, assessment of the client’s risk profile;
• recommendations for portfolio formation;
• obtaining information about portfolio changes;
• The minimum asset size is 6 million rubles.

additional services

Reviews

I found the company based on reviews on the Internet.
They didn't help. I gave the last one, they said they would return the advance payment in case of failure. I waited a week. As a result, they called and said that the money would not be returned. Then I found out that I had gone to the wrong site. This is a clone of the company, real crooks. They took advantage of the name of an honest company and steal money from people. Their website is https://brokerkit.ru/ - be careful. I applied for loan assistance on the website https://brokerkit.ru/.
They took an advance payment, but could not help with the loan solution. The money was not returned. Scammers in a word. Don't mess with them. I spoke with the manager at 8 495 128 07 46. After 2 days of conversations they did not answer the phone.

Statistics of NPF “KIT-Finance”

Reputable statistics agencies were surprised that this company already has more than one million satisfied customers. Which, in their authoritative opinion, indicates the reliability of this company and the high qualifications of its specialists.

The fund has the highest reliability rating from Russian experts RA and NRA - A++ and AAA. You can see which other companies are considered the most reliable in this article. Please note that the rating agencies' results on reliability indicators will be withdrawn due to termination of the contract.

We have collected original reviews on this topic here, reviews from real people, many comments, worth reading.

It is noteworthy that the fund’s pension contributions are insured by the state and the DIA organization. Unfortunately, many NPFs are now losing their license, and therefore this fact is an additional advantage for clients who want to save their funds.

Analytics and training

The analytics on the site amazes neither the volume of information nor its relevance for drawing up an individual trading and investment plan. Economic calendar, brief reviews of statistical reports, the most general recommendations at the “buy-sell” level and that’s all. On the one hand, you don’t need much from free publications. On the other hand, in order to interest a potential client in individual consulting services, it is advisable to show the “product face to face.” In addition, it is very inconvenient that almost all the information in the analytics section is presented in the form of files for downloading, and not online.

The company also conducts various training events (seminars, webinars, courses) both online and in a club format. These events do not take place very often and rather play the role of additional advertising than an independent direction that brings significant profit.

Investor test

The company offers to take a test to select a suitable investment strategy at the link https://brokerkf.ru/test_DU/. Here are my results:

You have passed the investment profile test. All possible strategies in the management system are formed taking into account the investment profile agreed (signed) with you.

The total points scored are 21.

Increasing profitability is your No. 1 priority. You understand and are ready to take on high investment risks (15-20%) in order to generate high returns.

Recommended financial instruments are stocks, long-range stocks, high-risk bonds.

You are confident in yourself, accustomed to extracting maximum opportunities at increased risk - ensure the maximum increase in your own assets above the market average. Your portfolio contains only shares of Russian companies from different echelons with the highest potential returns. The portfolio is also complemented by high-yield bonds of corporate issuers, which make it possible to obtain yields higher than OFZ (Federal Loan Bonds).

The entry threshold is from 3,000,000 rubles, the recommended investment horizon is from 18 months.

Everything written sounds quite logical, although the entry threshold could be much lower. I would set the investment horizon for the described portfolio to be at least five years, or even more. The specified period of 1.5 years is much more suitable for OFZs and corporate bonds - those who invested on the eve of 2008, as well as in 2011-14, will confirm this.

Trader's personal account

This is what your personal account looks like. The same song is about design. The functionality is quite large, since the broker does not have representative offices. Almost any document flow can be ordered from your personal account. At first glance, it is not clear where the section with deposits and withdrawals is. But over time, you get used to it.

Summary: not the most advanced brokerage services on the market. For beginners, everything seems incomprehensible and as illogical as possible. In this regard, the natural flow of new clients is difficult. For active traders or professionals, the set of tools is impressive. The company has its own audience, which suits each other according to a number of parameters. I would rather not recommend it for novice investors.

The importance of choosing a broker at the start

I think this article is very important for beginners. Those guys who, out of necessity or due to advertising “enticements”, became interested in trading on the stock exchange.

And just opening a brokerage account is the very first step to trading, it is not yet clear what. Before we start looking for and choosing a broker, you need to understand:

Trading on the stock exchange does not always mean profit; losses also happen. And commissions to a broker can also be considered as losses.

In general, this is a controversial issue about losses. After all, commissions to a broker can also be considered as costs of your trading, your business.

But this doesn’t change the essence! And brokerage commissions can significantly reduce your overall profit or loss. Especially if you look at these numbers by year.

This means that you must initially choose a broker with minimal commissions. And here it is important not to pursue the task in a straightforward manner, but also to consider and compare a number of other equally important parameters.

Important! And they need to be considered first, no matter how absurd it may sound!

Now you are just a newbie on the stock exchange, but in a year you will want to trade, for example, American stocks. And the broker you choose will not have access to the St. Petersburg Exchange.

So what are you going to do?

Look for another broker! Of course, it’s quite easy to leave one broker for another now, but it’s still a hassle and extra hassle.

Let's go through the brokers and choose the best one based on the parameters: price-quality. To remove the uncertainty in choosing the best broker in 2021, I will try to analyze all the major brokers according to various parameters and try to choose the same broker that is reliable and convenient for the average person.

Software and mobile trading

For trading, the broker offers the most popular software in Russia – QUIK. Versions have been created for computers, tablets and smartphones, which allows you to trade from anywhere.

Available to download for phones running IOS and Android software.

A mobile version of KIT Finance TWS – Handy Trader has been developed. Publishes news and analytical indicators from leading providers.

In addition, it allows you to monitor the status of accounts and the movement of funds across accounts in real time with an online margining system. A trader can monitor margin gap data and conduct trading operations from anywhere in the world.

In addition, we offer:

1. KIT Finance TWS (Trader Workstation) – for experienced traders.
2. TrustManager – for trustees trading depositor funds.
3. Colibri is a market analysis platform.

Company reorganization

It is worth noting that the period from 2021 to the present has been difficult for many companies in our country. The requirements of the Central Bank increased, many firms and even large banks closed, small companies tried to unite in order to “survive” in the new financial market.

This trend did not bypass NPF Kit-Finance, which in 2021 transferred to NPF Gazfond. In addition, clients of the Norilsk Nickel companies (known as Heritage, as well as Promagrofond) moved here.

Thus, if you entered into a service agreement with Kit-Finance before 2021, then now you are served by an organization called Gazfond. If you need to get advice or withdraw some money from your account, you need to contact new offices for help.

This is one of the largest organizations in Russia that provides pension accumulation and payment services to our fellow citizens. There are representative offices in almost every locality, and if there is no office of this institution in your city, you can always get advice by phone or online.

Basic data:

• The profitability of pension accounts of insured persons in 2021 is 7.31%,
• Average annual return on pension accounts of insured persons for the period 2005-2017. – 8.65%,
• Increase in pension savings from their investment from 2005 to 2017. – 194.16%,
• The amount of pension savings is 457,381 million rubles,
• Clients of the fund under OPS – 6,225,306 people,
• Pension reserves – yield 7.16%.

Working with a broker

To start trading through a broker, you must go through the registration procedure. I will present a tutorial that will help you log in quickly.

Registration on the official website

In the upper right corner of the official website there are two buttons - “Become a client” and “Open a demo account”. You need to click on the first link, a form for opening a brokerage account will open.

Instructions for opening an account

To open a brokerage account, you must fill out a form. You can conclude an agreement with the KIT Finance broker online (using your passport, INN and SNILS or through the Gosuslugi portal), remotely, by sending documents by Russian Post or in person at the office.

When choosing online registration, you must enter personal data:

• Full Name;
• series, passport number;
• SNILS or INN.

Next, select a tariff - “Kit-Standard”, “VIP”, “Prime” or “Deal”. If there is a promotional code, it is entered and the mobile phone number and email address are confirmed. This is necessary to restore access to your account and for mailings.

Demo account

On the official website of KIT Finance, you must click on the “Open demo account” button. You will see a form in which you need to enter your name, contact phone number, and current email address.

Select a trading platform: QUIK is installed on your computer, WebQUIK runs in an Internet browser. The checkbox is automatically checked - consent to the processing of personal data. At the end of the page there is a “Submit” button, which automatically opens a demo account.

Account replenishment and withdrawal of funds

To fund or withdraw funds from your trading account, you can use a bank transfer. It is not necessary to have a bank account or debit card. KIT Finance does not charge a commission for depositing or withdrawing money, but do not forget that the bank itself can set a certain percentage for depositing or withdrawing money.

Technical support

If you have any questions while working, you can call the phone number. KIT Finance employees will provide the necessary consultation and promptly resolve all issues. You can also order a call on the website, use the feedback form, write to Telegram, Viber or WhatsApp.

Why look for the best broker?

This article is dedicated to finding the best broker in Russia.
I spent several days to find out which broker is the best not only for a beginner, but for any trader. The idea to write such an article arose when I read several resources on the network on this topic and still couldn’t find the answer to who is the best. In addition, I myself am a client of several brokers in Russia, having significant amounts in brokerage accounts.

Therefore, this issue needs to be carefully considered not only by beginners, but also by experienced traders.

After all, competition among brokers forces them to constantly work on their tariffs and service. This means that a situation could easily arise when it’s time to leave one broker for another. After all, that other broker gives a more favorable offer for your trading on the stock exchange.

1. How to increase your brokerage account from 50,000 to 100,000 rubles. Description in the VKontakte group

2. How to increase your brokerage account from 50,000 to 100,000 rubles. Description in the group In the telegram channel

And by the way, if you are still looking for information about how to trade on the stock exchange without a broker, how to play on the “stock exchange” without a broker (this is how beginners usually think), then I will hasten to disappoint you. You can only trade through a broker! And under no circumstances should you play, but rather trade. This is not Russian roulette, but serious business!

So, let's go!

Pros and cons of the company

Advantages of KIT Finance:

• no commission for depositing and withdrawing money;
• operational technical support;
• low cost of maintenance;
• reliability level – AAA;
• There are no restrictions on the minimum deposit.

Disadvantages of the broker:

• few branches throughout the country;
• commission of 200 rubles per month for brokerage services on the Kit Standard tariff, regardless of whether transactions were made during the reporting period or not;
• TSLab platform is not supported.

Terms of service and tariffs

Kit finance broker offers certain terms of service.

In 2015, a monthly fee of 200 rubles began to apply, and money is withdrawn regardless of whether transactions were made during the reporting period or not.

Alternatives

Today there are a large number of companies offering brokerage services on the market. You can choose any one based on the characteristics. Remember that every broker has both advantages and disadvantages. Each user has his own opinion about the work, so you will encounter positive and negative reviews.

Reliable Russian brokers

A little about risks

Taking into account the sad history of KIT Finance Bank, before concluding a brokerage service agreement with KIT Finance Broker, you should carefully study the regulations. It contains provisions that create a risk to the safety of clients' funds. For example, Part 12 states that all clients' money is kept in a common bank account, separate from the broker's funds. If the client wishes to have his own individual account (it is called a special brokerage account), then the broker will open such an account for him, but under additional conditions.

In addition, the broker has the right to use the client’s funds free of charge, unless a prohibition is specifically stated. To do this, the broker temporarily credits the client’s funds to his account. As a result, if a client has a special brokerage account, then, as indicated in the regulations, a new group of risks arises associated with the peculiarities of servicing such an account. In simple terms, by default the client trusts the broker to risk his funds. If he prohibits doing this, then only for a fee.