№ 2/2017

Fìnansi Ukr. 2017 (2): 96–109

FINANCES OF THE INSTITUTIONAL SECTORS

STETSKO Mykola

Regulatory capital market system of Ukraine: an international dimension

The article discloses a number of issues related to capital market regulation in Ukraine. It is found that as to the quality of the securities market regulation this country ranks one of the last places in the world ranking of competitiveness. The goal of the proposed research is to study ways of reforming the capital market regulation system in Ukraine, taking into account global trends in the relevant field. The article reveals shortcomings in the regulation of capital markets and identifies the weak regulatory system points: the lack of the mechanisms for identifying and neutralizing fictitious issuers, the evidence of market manipulation and insider trading. It is shown that an inadequate regulation and supervision can lead to abuse of certain market participants and to the destruction of the whole market. Strategic and operational objectives of the market regulation system are defined. The key operational objectives of regulatory and control measures are to clean the market of fictitious assets and prevent attempts to manipulate prices for the individual assets and the market in general, as well as to introduce transparent, clear and equal for all rules of the game in the capital market. A critical analysis of the economic features of fictitious securities issuers and the necessity to grant the rights to the supervisory authority to check the reliability of financial statements of individual issuers are provided. The strategic plan of the capital market regulatory system should be integrated into the international space. The article indicates the direction of the integration of the domestic capital market regulation in the relevant international institutions. It is determined that in reforming the capital market regulatory system, measures to increase the level of confidence in the market should be taken.. It is proved that for a full-fledged market regulation it is necessary to strengthen the powers of the regulator, as well as to supervise the institutions that form the infrastructure of the market (accounting firms, rating agencies, registrars, financial analysts).

Keywords:capital market, market regulation, market manipulation, false securities, market cleansing, ratings of, allocation of capital

JEL: G10, G15, G18, O17

STETSKO M. . Regulatory capital market system of Ukraine: an international dimension / M. . STETSKO // Фінанси України. - 2017. - № 2. - C. 96-109.

Article original in Ukrainian (pp. 96 - 109)

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