Kazakhstanis begin to open more brokerage accounts

69 thousand of accounts more

In February, the number of sub-accounts registered in the accounting system of the Central Securities Depository exceeded 293 thousand. This is 30.8% more than in January. For comparison, for the entire second half of 2021, the number of sub-accounts grew by only 18.9%. Most of the sub-accounts are opened in the name of an individual. Their number has grown by 69,000 since February 1.

The energetic efforts of individual brokers to increase the client base have played a key role in the growth of the number of sub-accounts.

"To increase the retail client base, brokers are actively using digitalization tools. These tools allow for remote identification of clients by biometric data and access to personal accounts online, also due to their integration with databases of other organizations”, — said Adil Mukhamejanov, Chairman of the Management Board of the Central Securities Depository.

Investor is getting younger

A Kazakh retail investor is increasingly getting younger. Over the past month, the number of individuals aged 18–24 holding brokerage accounts has doubled and exceeded 50 thousand people. In February, the share of young investors was 17.8%, which is 6.5% more than in January. There are even brokerage accounts opened in the name of minors, although their share still does not exceed 0.1%.

"The Kazakh securities market is becoming more accessible and at the same time sophisticated, which attracts the younger generation. Digitalization processes have greatly simplified the procedure for opening a brokerage account. The possibility of remote trading through a mobile application has had no small share in attracting young people to become investors”, — says Adil Mukhamejanov.

But the number of older retail investors, on the contrary, is decreasing. The share of investors over 55 years of age decreased from 21.2% in January to 17.5% in February. Although in absolute terms there is a slight increase − plus 3,785 people. The largest share of retail investors is still aged 35–54 (35.8%), followed by those aged 25–34 (28.8%).

By region and gender

The proportion of women among brokerage account holders has also increased. Today, it is 42%. In just a month, the number of female investors in the stock market went up 1.4 times. Like all over the world, women in Kazakhstan have become more actively involved in investment processes.

As for the breakdown by region, the largest number of sub-accounts of individual holders is in two of the three cities of republican significance − Almaty (22.9%) and Nur-Sultan (9.2%). The second place is shared with the capital by Turkestan region − 9.2%. The third is occupied by Karaganda region (7.2%). At the same time, the number for Turkestan region has almost doubled as compared to January.

An increase in growth is also noticeable in Zhambyl (5.7%) and Kyzylorda (4.2%) regions. In February, their numbers went up 3.3 times compared to January. Least of all, the north of Kazakhstan opens brokerage accounts, namely, residents of Kostanay (2.8%), Akmola (2.2%) and North Kazakhstan (1.4%) regions.