SIFs gain 18% in one month

SIFs (financial investment companies) have become interesting for investors again in the last month, when the BET-FI index rose 18%.

In addition, the value of SIF transactions has risen significantly since the beginning of the year, with brokers saying part of the money that exited Fondul Proprietatea (FP – Property Fund) was invested in SIFs, with dividends distributed by these companies also acting as a draw for investors.

In fact, the biggest rise was recorded in the past month by SIF Muntenia shares (SIF4), which gained 26%. SIF Muntenia has so far announced the highest dividend yield, 6.5% currently.

“The banking sector is showing signs of a rebound. The banks have started to budge again as far as lending is concerned, lowering interest rates. These are reasons for growth for SIFs, which still have a high exposure to the banking sector,” explains Octavian Dragolea, broker with IFB Finwest.

On the other hand, bank shares have gained less than 5% in the past month, and the BET index gained around 3.7%. In contrast, the shares of companies that announced significant dividends, such as Zentiva (SCD) and Apcarom (APC), were among those with highest growth.