If you are thinking about buying Russian assets on their severe dip in value, just don't, warns top JPMorgan emerging markets strategist Jahangir Aziz.
"I think Russia was made uninvestable by the sanctions already," Aziz said on Yahoo Finance Live.
To be sure, the penalties on Russia for its invasion of Ukraine are starting to pile up and puts its economy at severe risk for a deep, prolonged plunge.
The West slapped Russian banks with fresh sanctions this past weekend.
Western allies moved to block "selected" Russian banks from the SWIFT payment system. The decision essentially denies Russia access to financial markets globally and opens its economy up to a potentially severe decline.
In light of the sanctions multinational companies such as Mastercard, Visa and BlackRock have sought to distance themselves from doing business in Russia, Yahoo Finance reports.
"We have stopped all our shipments to Russia. And we really hope that they will be restored as soon as possible to the region," HP CEO Enrique Lores told Yahoo Finance Live.
The collective actions by governments and the private sector have Wall Street strategists such as Aziz predicting a major decline in the Russian economy.
This week, Aziz and his team said Russia's economy will contract 20% quarter-over-quarter at a seasonally adjusted rate in the second quarter. The strategy team thinks the economy will likely enter recession.
Warns Aziz, "I think at the end of the day, the biggest risk now is a political risk that is being imposed on anyone who is investing in Russia. You can't hedge against that risk. You can hedge against interest rates going up. You can hedge inflation going up and the Ruble falling. But you can't hedge against political risk."