scholarly journals Ukraine’s stock market: development prospects and global experience of state regulation

2021 ◽  
Vol 2021 (2) ◽  
pp. 290-303
Author(s):  
Andrij Bosak ◽  
◽  
Ya. Doinik ◽  
Keyword(s):  
Stock Market ◽  
Government Regulation ◽  
Developed Countries ◽  
Legal Framework ◽  
Legal Regulation ◽  
State Regulation ◽  
Investment Incentives ◽  
Real Economy ◽  
Minority Shareholders ◽  
Association Agreement

The Ukrainian stock market has a huge potential for development, but many systemic problems hold it back. The purpose of the study was to develop proposals for the use of international experience in regulating the stock market of Ukraine. To achieve the goal, the current state of development of the stock market of Ukraine was analyzed and its main problems were identified. It is revealed that the nominal indicators of the volume of the stock market have been decreasing since 2015, but qualitatively the market is developing. The number of organizers of exchange trades and the number of new issues of securities decreased, many licenses to work on the stock market were revoked. At the same time, the responsibility of exchange traders is growing, information sharing is improving, and most traders adhere to accepted trading principles. The article analyzes the legislative changes in the regulation of the stock market, which have occurred since the signing of the Association Agreement between Ukraine and the EU. Separately identified elements of the stock market and technological processes of stock trading, requiring increased government regulation. Despite the increased level of institutional independence of the NSSMC and improvements in depository and clearing activities, the current legal framework allows owners of large businesses to forcibly buy out minority shareholders' shares. There are almost no shares of large profitable enterprises for free sale, and the level of monopolization of key sectors of the national economy is too high. The results of the analysis of U.S. laws and EU directives regulating the operation of stock markets, allowed to formulate proposals for the use of the experience of developed countries in the practice of reforming the stock market in Ukraine. In particular, changes are proposed regarding the obligation of issuers to ensure a minimum free float of their securities, strengthening accountability for violations on the stock market, streamlining the work of investment companies (funds) of various types, investment incentives in the real economy, protecting investors' rights and providing large stock exchanges with the status of self-regulatory organizations. Proposed measures for the development of legal regulation of the Ukrainian stock market will bring us closer to ESMA standards, to sign a Multilateral Memorandum of Understanding concerning consultation, cooperation and the exchange of information with IOSCO, increase overall market capitalization and liquidity of the market and allow the Ukrainian economy to attract capital on favorable terms.

An empirical study on big data stock volatility forecasting algorithm based on multivariate hybrid criterion fuzzy model

2021 ◽  
pp. 002072092098399
Author(s):  
Zhang Xiao-Wen ◽  
Zeng Min
Keyword(s):  
Big Data ◽  
Stock Market ◽  
Fuzzy Model ◽  
Reference Value ◽  
Developed Countries ◽  
Theoretical Research ◽  
Prediction Algorithm ◽  
Real Economy ◽  
Stock Volatility ◽  
The Us

The fluctuation of the stock market has always been a matter of great concern to investors. People always hope to judge the trend of the stock market through the trend of the K line, so as to obtain the price difference through trading, Therefore, it is a theoretical research concerned by the academic circles to carry out empirical research through big data stock volatility prediction algorithm, so as to establish a model to predict the trend of the stock market. After decades of development, China's stock market has gradually matured in continuous exploration. However, compared with the stock market in developed countries, there are still imperfections. For example, the market value of China's stock market does not improve well with economic growth. Year-on-year growth and the development of the real economy. By studying the historical data from 2002 to 2017, we use the Multivariate Mixed Criterion Fuzzy Model (MMCFM) to predict the price changes in the stock market, and obtain the market in China through error statistical analysis. (SSE) is more unstable than the US stock market. Therefore, Multivariate Mixing Criterion (MMC) can be used as a reference indicator to visually measure market maturity. In this paper, we establish a multivariate mixed criteria fuzzy model, and use big data to predict the stock volatility. The algorithm verifies the reliability and accuracy of the model, which has a good reference value for investors.

scholarly journals ON THE ISSUE OF IMPLEMENTATION OF INTERNATIONAL EXPERIENCE IN FINANCIAL ASSETS REGULATION: CRYPTOCURRENCIES

2021 ◽  
pp. 157-167
Author(s):  
Olena LIUBKINA ◽  
Oleksandr TKACHENKO
Keyword(s):  
Financial Regulation ◽  
Rapid Development ◽  
Effective Interaction ◽  
Legal Framework ◽  
Legal Regulation ◽  
International Experience ◽  
State Regulation ◽  
Financial Assets ◽  
Digital Products ◽  
Virtual Currency

Introduction. The digitalization of the economy is closely linked to the formation of an effective legal framework. Any development or operation of digital instruments must be accompanied by appropriate financial and legal regulation. The study of the functioning of digital financial assets allowed us to conclude that, unfortunately, their rapid development is observed against the background of the lag of regulatory regulation of the relevant legal relations that are formed as a result of such activities. A critical scientific analysis of international experience in the field of financial regulation of cryptocurrencies has identified a number of key generalizations. The purpose of the article is to identify the main markers of digital financial assets, study international experience in financial regulation of virtual assets, including cryptocurrencies, identify opportunities to implement positive foreign practices to Ukrainian realities and diagnose the current state and prospects of cryptocurrency in Ukraine. Results. The specific characteristics of digital financial assets are substantiated, namely: freedom of issue, availability of cryptocurrencies, absence of intermediaries, high degree of protection, openness to developers, integration with the latest technologies that produce new digital products. The international practice of state regulation of cryptocurrencies is generalized in terms of both the interpretation of the conceptual apparatus and in view of the qualification of the mechanism of conducting operations with digital assets. It is proved that in Ukraine from the point of view of legal regulation of cryptocurrency is still outside the full framework of the legal field of domestic legislation. The main innovations and specifics of regulation of the market of virtual assets in accordance with modern Ukrainian realities are determined. Conclusions. The difference between national laws in the field of regulation of virtual assets is proved. It is argued that the main vector of regulation is aimed at strengthening control over the transparency and accountability of transactions with virtual assets, cybersecurity and mandatory user verification. The main directions of increasing the settlement and trust in virtual assets are formulated: production of standards and rules of cryptocurrency circulation, in order to bring it to the rank of a competitive means of payment; consolidation of the official status of cryptocurrency; formation of an open ecosystem through effective interaction of all participants in the process of buying / selling cryptocurrency; formation of a legal trading platform for cryptocurrency circulation; support of information literacy of the population to understand the benefits and risks of virtual currency etc.

scholarly journals Organizational, Legal And Financial Approaches To Improving Startup Support Mechanisms: On The Example Of The Republic Of Korea

2021 ◽  
Vol 3 (05) ◽  
pp. 79-85
Author(s):  
Khursanov Rustam Kholmuratovich ◽  
Keyword(s):  
Innovation System ◽  
Developed Countries ◽  
Legal Framework ◽  
Legal Regulation ◽  
National Innovation System ◽  
Republic Of Korea ◽  
National Model ◽  
Support Mechanisms ◽  
The Republic ◽  
System Today

In fact, the development of startups plays an important role in shaping the national innovation system of the country, further increasing the share of innovation in the economy, creating new types of goods, works and services. Although there is no separate law in our country directly regulate the activities of startups, there are dozens of laws that indirectly cover this area. It is natural that the existing legal framework in this area will serve as a legal regulator in the development of startups in the country and the formation of a national innovation system. Today, the models of developed countries in the legal regulation of innovative activities are used as an example by many developing countries. The national model of innovative development of the Republic of Korea is one of them.

The Role of the Federal Budgetary Investments in Ensuring the Socio-Economic Development of Russia in 2019–2021

2019 ◽  
Vol 12 (3) ◽  
pp. 48-58
Author(s):  
R. A. Alandarov
Keyword(s):  
Economic Development ◽  
Socioeconomic Development ◽  
Federal Budget ◽  
Developed Countries ◽  
Legal Framework ◽  
Legal Regulation ◽  
Capital Investments ◽  
Investment Planning ◽  
Socio Economic Development ◽  
Investment Structure

The paper describes the specifics of planning federal budget allocations for budgetary investments in 2019–2021.The relevance of the paper is due to the fact that Presidential Decree No. 204 of May 07.2018 sets the goal for Russia to break into the top five world economies and ensure economic growth rates exceeding the world rates while maintaining the macroeconomic stability. The subject of the research is federal budget allocations for budgetary investments. The purpose of the research was to assess the volume, dynamics, structure and legal support of budgetary investments to ensure their compliance with the objectives of the socio-economic development of Russia. Based on a dynamic structural analysis of the federal budget investments as well as a comparative analysis of fixed investments in Russia and developed countries, it is concluded that there is a need to enhance the fixed asset investments by increasing budgetary investment amounts along with encouraging private investing by the population and businesses. Apart from increasing capital investments from the federal budget, it is also important to update the budgetary investment structure with a focus on the main socioeconomic development targets. The analysis of the legal regulation in the field of budgetary investments showed the necessity to refine the existing legal framework to improve the quality of the budgetary investment planning. Following the analysis of factors hindering the growth of private investing, proposals were made on to how to improve the investment climate in the Russian Federation.

scholarly journals Legal regulation of crypto assets in Switzerland

2020 ◽  
pp. 1-10
Author(s):  
Ilya Mikhailovich Lifshits ◽  
Alina Vitalievna Loseva
Keyword(s):  
Developed Countries ◽  
Legal Framework ◽  
Legal Regulation ◽  
Fund Raising ◽  
Legal Regime ◽  
Special Contribution ◽  
European Languages ◽  
Different Types ◽  
The Subject ◽  
Complex Regulation

The development of cryptocurrency markets make the investors to seek for most convenient jurisdictions from the perspective of legal regulation. The countries commonly associated with the developed financial legal systems are often fasten attention. One of such financial hubs is Switzerland, which just starts to form the approaches towards creation of legal regime for operations with virtual assets. The subject of this research is the Swiss legal acts in area of securities, licensing, taxes related to regulation of cryptocurrency, as well as reports of the supervisory authorities for Swiss financial market on the matter. The object of this research is the legal framework for regulation of mining activity. The authors examine the rules dedicated ti the questions of licensing of the activity related to operations with different types of tokens. Special attention is given to the question of taxation of the income received from operations with cryptocurrencies. The author’s special contribution consists in comprehensive analysis of foreign sources presented on the three European languages. Having analyzed the legislation of Switzerland, the conclusion is made that similar to many developed countries, Switzerland has not created a complex regulation of operations with cryptocurrencies. At the same time, the normative acts that regulate certain aspects of circulation of crypto assets, such as fund raising in terms of tokens distribution and taxation have been adopted. Regulation of crypto assets often depends on the qualification of different types of tokens, in other words, their regime is consigned to the operations with such assets that are most similar to the corresponding type. The increase of operations with crypto assets will soon inevitably result in creation of a more accurate legal regime

scholarly journals Legal regulation of state support for small business: experience of Ukraine and Poland

2019 ◽  
Keyword(s):  
Small Business ◽  
Institutional Development ◽  
Legal Regulation ◽  
State Regulation ◽  
Export Market ◽  
Trade Restrictions ◽  
State Support ◽  
Association Agreement ◽  
Business Support ◽  
The Eu

For countries with a market economy small business is an attractive form of business organization because of its flexibility and mobility, which are so necessary for the Ukrainian economy. The purpose of the article is to analyze the experience of legal regulation and state support of small business in Poland and Ukraine and to determine its relevant directions for implementation in Ukraine. In Poland the approach of strategic building of state regulation of business within the framework of legal strategies for 3-4 years has proved its efficacy. Such principles of polish “New Constitution for Business 2017”, as the principle of proportionality of punishment for the violation; the principle of acquiescence; direct liability of civil servants for violation of the law, are innovative for Ukraine. The obvious disadvantage of the Ukrainian small business support system is the predominance of financial instruments, while the regional and local mechanisms for its implementation are under-developed. Ukraine's successes in the legal state regulation of small business in the field of administration are important. The legal foundations for expanding access to public procurement in Ukraine have proved their effectiveness. European small business support tools, that are effective in Poland can and should be used in Ukraine. Close attention to the problem of insolvency is needed in Ukraine. A thorough study of the institutional development of small business support in Poland is relevant. Important for the Ukrainian economy, the direction of foreign trade development is still in its infancy. The EU-Ukraine Association Agreement has already lifted most trade restrictions on the EU export market for Ukrainian exporters, but this is only a search for ways to reach the world market.

scholarly journals Licensing of Tourist Activity in Foreign Countries

2021 ◽  
pp. 87-97
Author(s):  
Olena CHERNIAK ◽  
Alla KIRYK
Keyword(s):  
Tourism Development ◽  
Legal Framework ◽  
Legal Regulation ◽  
State Regulation ◽  
Tourism Industry ◽  
State Agency ◽  
The European Union ◽  
Public Authorities ◽  
Foreign Countries ◽  
Travel Agencies

The tourism industry has been studied as one of the important components of the world economy. The place and role of licensing of tourist activity in the system of state regulation in the field of tourism are considered. The normative-legal regulation of licensing of tourist activity in Ukraine is analyzed. It is determined that the obligation to issue licenses for the right to conduct tour operators is assigned to the State Agency for Tourism Development of Ukraine (DART). The views of representatives of the tourism business on the abolition of licensing of travel agencies in Ukraine, which was carried out on the basis of the Law of Ukraine «On Amendments to Certain Legislative Acts of Ukraine to Restrict State Regulation of Economic Activity». Modern approaches to the protection of the rights and legitimate interests of tourism market participants in some countries and in Ukraine are analyzed. The procedure for issuing licenses for tourism activities in such popular tourist countries as Italy, France, Great Britain, Turkey, Thailand, Japan and the UAE is considered. The legal regulation of tourism in the European Union is studied and the Directive (EU) № 2015/2302 of the European Parliament and of the Council of 25 November 2015 on package tours and related travel organizations is analyzed, which aims to promote the proper functioning of the internal market and achieve the highest possible higher and equal level of protection of consumers of tourist services. It is determined which public authorities in foreign countries are responsible for state regulation of tourism. The types of licenses that can be obtained when opening travel agencies in foreign countries are considered. It is established that the procedure for obtaining a license differs from country to country and depends on a number of factors, including: models of public tourism management, development of the general legal framework, formation and structure of the tourism market, the presence of an association of tourism professionals. The improvement of state regulation of tourism development in Ukraine on the basis of international experience is analyzed. The directions of Ukraine which are directed on improvement of tourist sphere, namely introduction of the register of subjects of tourist activity are defined.

scholarly journals Legal regulation of admission and circulation of securities of foreign issuers in Ukraine

2020 ◽  
Vol 3 ◽  
pp. 144-148
Author(s):  
Anna Bukvych
Keyword(s):  
Stock Market ◽  
Positive Impact ◽  
Legal Framework ◽  
Legal Regulation ◽  
Securities Market ◽  
Investment Climate ◽  
Practical Application ◽  
Simplified Procedure

The author explores the possibility of introducing in Ukraine a simplified procedure for foreign issuers to enter the Ukrainian securities market. As a result, the author believes that this will be a very important step for the development of the stock market of Ukraine, which contributes to improving the investment climate and raising Ukraine in the ranking of doing business.The article notes that the demand for securities of foreign issuers and liquid Ukrainian securities is also growing from the side of Ukrainian buyers, which in turn has a positive impact on the development of the securities market in Ukraine as a whole. With the development of new mechanisms in the securities market, new problematic issues will arise, related to the circulation of securities of foreign issuers in Ukraine. For this reason, the practical application of the new rules will require clarification and, accordingly, the development of a new legal framework to address such issues.

scholarly journals State and Prospects of Using the Сryptocurrency Derivatives

2020 ◽  
pp. 60-65
Author(s):  
Oleksandr Petruk ◽  
◽  
Oksana Novak ◽  
Keyword(s):  
Legal Status ◽  
Rapid Development ◽  
Developed Countries ◽  
Legal Framework ◽  
Legal Regulation ◽  
Intangible Asset ◽  
Financial Instruments ◽  
Spot Prices ◽  
Domestic Legislation ◽  
Futures And Options

The emergence and rapid development of the cryptocurrency market necessitated its organization and legal regulation. Today in Ukraine, businesses are allowed to record cryptocurrency as a financial asset (financial instrument / intangible asset), so cryptocurrency can be used by businesses and individuals as an investment. In developed countries, where the legal framework for the operation of cryptocurrencies has been created, new derivative financial instruments are emerging: Bitcoin futures and options on Bitcoin futures. The purpose of the article is to study the features of derivative financial instruments for cryptocurrencies and prospects for their use in Ukraine. The authors analyzed the peculiarities of the functioning of Bitcoin derivatives on Chicago Mercantile Exchange (CME). It has been established that both Bitcoin futures and options on Bitcoin futures are settlement contracts without the actual delivery of the underlying asset, and their value is formed depending on the spot prices for bitcoin. According to the results of the study, it can be argued that derivatives based on cryptocurrencies (bitcoin) are used mainly for speculative purposes, are highly volatile and high risk, require significant investment to participate in trading (compared to derivatives on traditional financial instruments) and do not involve any transactions with direct cryptocurrencies. Domestic legislation does not explicitly prohibit investments in cryptocurrencies and financial instruments derived from them, but does not determine the legal status of cryptocurrencies. National financial market regulators do not provide any guidance on valuation, accounting and cryptocurrency transactions to businesses, but only warn of the high risks of investing in cryptocurrencies.

scholarly journals MINIMIZATION OF PROBLEM LOANS IN BANKS: ECONOMIC AND LEGAL ASPECT OF STATE REGULATION

2021 ◽  
Vol 2 (37) ◽  
pp. 47-54
Author(s):  
O. Kostyuchenko ◽  
M. Stefanchuk ◽  
D. Korobtsova ◽  
O. Soniuk
Keyword(s):  
Life Cycle ◽  
Government Regulation ◽  
Legal Aspect ◽  
Banking System ◽  
Legal Regulation ◽  
State Regulation ◽  
The State ◽  
Negative Consequences ◽  
Political Crises ◽  
State Coercion

Abstract. The authors of the article have studied the problem of managing non-performing loans within loan portfolios. It has been substantiated that Ukraine as a developing country is in such socio-economic conditions of development that increase credit risks for banks. Numerous studies of the determinants for the formation of loans portfolios in countries with different levels of economic development demonstrate that developing countries are prone to negative consequences that lead to insolvency of debtors in case of a drop in the GDP, inflation, legal uncertainty, political crises, etc. The lack of long-term experience of banks in solving problems of increasing the share of non-performing loans in banks’ portfolios demonstrates that minimization of such assets requires regulation at the level of the banking system, but not a separate bank. Based on statistical data, it has been demonstrated that the minimization of problem loans of banks gained significant positive dynamics only after the National Bank of Ukraine regulated the process of managing distressed assets by adopting a regulatory act. Detailing the process of legal regulation of managing distressed assets allowed banks to structure and organize the work of their divisions in accordance with the normatively defined life cycle of distressed asset in such a way that all measures taken by them affect the efficiency of their work. Using permits, prohibitions and obligations as legal means of regulating relations between banks and their debtors, those relations have become predictable, allowing banks to control the process of managing non-performing loans and make timely decisions on the use of tools to minimize the share of distressed assets of the bank. The wide choice and consistency of applying financial and legal instruments in the process of managing non-performing loans allows banks to maximize the contractual settlement of debt and address to the competent authorities for the application of state coercion to debtors. Direct prohibitions, which are provided in the procedure of writing-off impaired assets, prevent corruption manifestations in this process. However, the authors have argued that the practice of 2008—2019 in terms of managing non-performing loans of banks demonstrated that the effectiveness of this process directly depends on government regulation. If the economic preconditions for the formation of problem loans depend on various factors of objective and subjective nature, then the management of non-performing loans directly depends on the existing legal models in the state for solving this problem. The autonomy of banks and their right to independently determine their strategies for managing distressed assets does not provide the desired efficiency without the imperative intervention of the central bank. Thus, the state regulation of the life cycle of distressed assets has demonstrated its effectiveness, and thus confirmed the need for regulatory influence on the processes of minimizing non-performing loans in Ukrainian banks. Keywords: non-performing loans, distressed assets, agreement-based regulation, state influence, state coercion, legal regulation. GEL Classification G18, G21, G34, K12, K42 Formulas: 0; fig.: 2; tabl.: 0; bibl.: 12.

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