Securities market concept and structure. Structure of the modern securities market. The infrastructure of the securities market consists of

Structure of the securities market

The securities market, like any other market, is a complex structure with many characteristics. Taking into account the dependence on this, it can be considered from different sides, and its different characteristics in pairs reflect one or another side of the securities market. The components of the securities market are based not only on one or another type of security, but also on the method of trading on this market in the broad sense of the word. From these positions in the securities market, it is extremely important to distinguish markets ( rice. 17 presentations .):

‣‣‣ primary and secondary;

‣‣‣ organized and unorganized;

‣‣‣ exchange and over-the-counter;

‣‣‣ traditional and computerized;

‣‣‣ cash and urgent.

Taking into account the dependence on the stage of circulation of a security, primary and secondary markets are distinguished. The primary market is the market in which the initial offering of a security occurs. The function of this market is to mobilize new capital.

.Secondary market - it is the market in which previously issued securities are traded. In this market, resources are redistributed among subsequent investors.

Considering the dependence on the level of regulation, securities markets can be organized And unorganized. In the first, the circulation of securities occurs according to firmly established rules that regulate almost all aspects of market activity; in the second, the participants in the transaction independently agree on all issues.

Taking into account the dependence of the place of trading, exchange and over-the-counter securities markets are distinguished. Exchange market means that securities are traded on stock exchanges, but most types of securities are traded outside of exchanges. If the exchange market is essentially always an organized market, then over-the-counter market should be both organized and unorganized ("street", "spontaneous"). Today, in countries with developed market economies, only the organized securities market, which is represented either by stock exchanges or over-the-counter electronic trading systems, is of overwhelming importance.

Considering the dependence on the type of trading, the securities market exists in two main forms: traditional and computerized.

Traditional market- This is a traditional form of securities trading in which sellers and buyers of securities (usually represented by stock intermediaries) meet directly at a certain place and public, transparent trading takes place (as in the case of stock trading) or closed trading, negotiations are conducted, which - the reasons are not subject to wide publicity.

Computerized market- These are various forms of securities trading based on the use of computer networks and modern communications. It is worth saying that they are characteristic of him.

a) lack of a physical meeting place for sellers and buyers; computer trading desks are located directly in the offices of companies trading securities, or directly their sellers and buyers;

b) the non-public nature of the pricing process, automation of the securities trading process;

c) continuity in time and space of the process of trading securities.

Taking into account the dependence of the periods on which transactions with securities are concluded, the securities markets are divided into cash and futures. Cash market (spot market, cash market) is a market for immediate execution of concluded transactions, while purely technically, their execution can take up to one to three days if delivery of the security itself in physical form is required.

Futures securities market is a market with delayed, usually several months, execution of a transaction. As a rule, traditional securities (stocks, bonds) are traded on the cash market, and contracts for derivative instruments of the securities market are traded on the derivatives market.

Structure of the securities market - concept and types. Classification and features of the category "Securities Market Structure" 2017, 2018.

The securities market is a set of economic relations that arise between various economic entities regarding the mobilization and placement of free capital in the process of issuing and circulating securities.
Fictitious capital is capital represented in securities that regularly bring income to their owners in the form of dividends or interest and make independent movements in the securities market that are different from real capital.

Functions and types of securities markets.

Functions:
1.general market functions:
-commercial, related to making profit from operations on the securities market
- price function – the process of formation of market prices, their constant movement, etc. is ensured.
- information function, i.e. bringing information about trading objects to securities market participants
- regulating, i.e. creating rules for trade and participation in it, a procedure for resolving disputes between participants, establishing priorities and forming management and control bodies.
2. Specific functions:
- redistributive - funds are redistributed between branches of production and areas of activity
- function of insurance of price and financial risks.

Types of markets:
I Primary market - associated with the issue of securities and the primary owners participate in it.
Secondary market – involves the circulation of previously issued securities (transfer of rights from one owner of a security to another)
II Organized market - the circulation of securities on the basis of rules established by governing bodies between licensed professional intermediaries - participants in the securities market on behalf of other participants.
Unorganized market – circulation of securities without compliance with uniform rules
III Exchange market, that is, trading of securities on exchanges (organized)
Over-the-counter (street) market - trading in securities bypassing stock exchanges (organized or unorganized).
IV Cash market – a market with immediate execution of transactions within 1-2 business days.
The derivatives market is a market on which various types of transactions are concluded with a execution period of more than 2 days.
V Traditional market
Computerized market.

Securities market participants:
Individuals or organizations that sell or buy securities or service their circulation or settlements on them, or these are persons who enter into certain economic relations with each other regarding the circulation of securities.

Groups of securities market participants:
Issuers – issue securities into circulation.
Investors buy securities.
Stock intermediaries are traders who provide communication between issuers and investors on the securities market: organizations carrying out brokerage activities (on behalf and at the expense of the client); organizations engaged in brokerage activities (purchase and sale of securities at their own expense or at the expense of the company they represent); securities management activities.
Organizations serving the securities market: organizers of the securities market, namely stock exchange and over-the-counter organizations; settlement centers (clearing houses, clearing centers – mutual settlement system); depositories – provide securities storage services; registrars – maintain registers of shareholders and other owners of securities; information organizations implementing information and analytical systems to support investments.
State bodies regulating and monitoring the securities market: government agencies, the Ministry of Finance, the Central Bank, other ministries and departments.

Listing is a market support system that creates the most favorable conditions for an organized market, allows one to identify the most reliable and high-quality securities and ways to increase their liquidity. The listing procedure means permission to participate in trading of certain securities.

8. Foreign exchange market: essence and structure.

The foreign exchange market in the Russian Federation is represented by such organizations as:
1. Central Bank of the Russian Federation
2. MICEX
3. authorized commercial banks (which have a license from the Central Bank for foreign exchange transactions).

The foreign exchange market is divided according to the same principle as the securities market: organized and unorganized, exchange and over-the-counter.
Currency values ​​are traded on the foreign exchange market, which include: foreign currency; securities in foreign currency, as well as precious metals, with the exception of jewelry and other household items, as well as scrap of such items.
Currency operations:
current - transfers to and from the Russian Federation of foreign currency for making payments without deferred payment for exports and imports, as well as lending for a period of no more than 180 days (this includes receiving and providing financial loans, transfers of interest, dividends and other income on deposits, investment loans and other operations related to the movement of capital); non-trade transfers (salaries, pensions, etc.)
foreign exchange transactions related to the movement of capital. This includes: direct investment, portfolio investment; transfers to pay for property rights and other rights to real estate; provision and receipt of financial loans for a period of more than 180 days.
other currency transactions.

Topic 1: Fundamental concept of the securities market

Lecture material.

Stocks and bods market is a market in which the redistribution of monetary resources is carried out between their suppliers (investors) and consumers (issuers) on the basis of the circulation of securities as goods. In turn, this determines the functions of the securities market in macroeconomics, the pricing mechanism, the composition of market participants, segmentation, operating procedures, regulatory rules, etc.

Functions of the securities market boil down to the following: a) redistribution of monetary resources for investment purposes, b) redistribution (“purchase - sale”) of financial risks, c) disclosure and redistribution of information about financial risks, profitability and liquidity affecting investment decisions, e) indication of the state of the economy and its financial sector, f) determination of securities rates (pricing of stock instruments).

Relation to other types of markets . It is very important to correctly correlate the securities market with such types of markets as the capital market, money market, financial market, etc. First of all, traditionally these markets are represented by movement monetary resources.

In terminology accepted in domestic and international practice:

Financial market = money market + capital market

On money market movement of short-term (up to 1 year) savings is carried out, capital market - medium- and long-term savings (over 1 year).

Stocks and bods market is segment financial market (both money market and capital market), which also includes the movement of direct bank loans, deposit market, currency trading, redistribution of monetary resources through the insurance industry, circulation of pension policies, intercompany loans, etc. (cm. scheme 1 )

Concepts stock market And securities market match up.

Scheme 1

Structure of the securities market

The main components of any securities market are:

-issuers (persons who lack financial resources and attract them through the issuance of securities). In the case of non-issue securities, these are persons issuing securities (drawers, check drawers)

-financial intermediaries – brokerage-dealer companies, through which the redistribution of free resources is carried out Money from investors to issuers of securities. They act for the account and in the interests of clients, buying and selling securities for them, or for their own account, maintaining market liquidity, opening bilateral quotes or acting as investors

-investors (persons who have surplus funds and invest them in securities) – a) retail investors – population, b) corporate investors – enterprises with free cash flows, c) institutional investors – enterprises that have surplus funds due to the nature of their activities (investment funds, pension and charitable funds, insurance companies, corporate investment plans, etc.)

It is customary to distinguish two main parts in the structure of the securities market: primary securities market and secondary securities market.

Primary market securities is the market for first and re-issues of stock instruments. In the primary securities market, the initial placement of securities among investors is carried out. A necessary condition for the full functioning of the primary securities market is full disclosure of information to investors, allowing them to make an informed choice of the type of securities.

The primary securities market is the market for first and re-issues of stock instruments. In the primary securities market, the initial placement of securities among investors is carried out, and free funds are distributed among industries and areas of the national economy. The criterion for this placement in a market economy is the income generated by the securities. The primary market acts as a means of creating an effective, from the point of view of market criteria, structure of the national economy; it maintains the proportionality of the economy at the current level of profit for individual enterprises and industries.

A necessary condition for the full functioning of the primary securities market is full disclosure of information to investors, allowing them to make an informed choice of the type of securities. The release of securities on the primary market involves a number of actions:

The issuer must develop conditions for issuing securities that ensure liquidity and demand for securities. Therefore, consultation with stock market professionals is necessary;

The issuer must enlist the support of a guarantor who can, for a commission, share with him the responsibility associated with the issue;

The issuer must register the entire issue of securities in the appropriate government agency, pay the tax and publish all the necessary information about the release.

The primary securities market is the actual regulator of the market economy. It largely determines the size of savings and investments in the country, serves as a spontaneous means of maintaining proportionality in the economy, meeting the criterion of profit maximization, and thus determines the pace, scale and efficiency of the national economy. The primary market involves the placement of new issues of securities by issuers. In this case, corporations, the federal government, and municipalities can act as issuers. The importance of these issuers in the market is determined by the state of the economy in the country and the general level of its development. Chronic government budget deficits in most countries determine the predominant role of the state in the securities market.

Secondary market securities is the market on which securities previously issued and placed on the primary market are traded during their life cycle. The most important feature of the secondary securities market is liquidity, i.e. the possibility of successful and extensive purchase and sale at low distribution costs. We can talk about creating an effective secondary securities market if the latter has a large number of sellers and buyers; and continuous trading and large volume of securities sales.

The secondary market is not intended to generate new funds for issuers. The secondary market necessarily carries an element of speculation. Since the goal of our activity is income in the form of exchange rate differences, and the exchange rate value is formed under the influence of supply and demand, there are many ways to influence the price of securities in the desired direction. As a result, in the secondary market there is a constant redistribution of property, which generally has one direction - from small owners to large ones.

The secondary securities market, concentrating the supply and demand of circulating securities, forms the equilibrium rate at which sellers agree to sell and buyers agree to buy securities, which is necessary when redistributing loan capital between industries and spheres of the economy, between business entities. Resaleability is an important factor taken into account by an investor when purchasing securities on the primary market. The function of the secondary market is to balance the securities market and ensure liquidity. A liquid market is characterized by a small gap between the seller's and buyer's prices; slight price fluctuations from transaction to transaction. Moreover, the higher the number of participants in the sale and the possibility of prompt resale of securities, as well as the higher the percentage of novelty of the securities offered for sale, the higher the liquidity of the market.

In accordance with world practice, the securities market is divided into two – largely independent from each other – markets: exchange and over-the-counter. The first involves transactions concluded on the stock exchange, the second - outside it.

The organized (exchange) market provides liquidity and regulation of the securities market, price determination, and accounting for market conditions. Procedural issues related to trading on such a market are strictly regulated by law and the rules of the exchange.

Thus, the stock exchange is a scientifically, informationally and technically organized securities market, operating on the basis of the following principles:

1) checking the quality and reliability of the securities being sold, followed by their inclusion in the quotation list - listing (reverse procedure - delisting);

2) establishment, on the basis of auction trading, of a single exchange rate for identical securities of one issuer;

3) transparency of transactions carried out on the stock exchange.

The main functions of the stock exchange include the mobilization and concentration of free cash capital and savings through the organization of the sale of securities; investment by the state and other business organizations by organizing the purchase of their securities; security high level liquidity of investments in securities.

Over-the-counter market (over-the-counter market) is a way of organizing trading on the securities market by telephone and/or through electronic systems outside the exchange and, as a rule, with the participation of a dealer. The over-the-counter market does not impose very strict requirements on sellers and buyers and is characterized by a plurality of sellers and buyers; the absence of a single exchange rate for identical securities; prices are set through negotiations between the seller and the buyer; the absence of a single physical and methodological center for the purchase and sale of securities. In addition, participants in the exchange process act within the framework of a narrow specialization, and intermediaries in the over-the-counter market combine several functions.

OTC trading is carried out by specialists: brokerage and dealer companies, often combining their functions. However, this does not mean that trading in securities in over-the-counter circulation is spontaneous. Over-the-counter turnover has its own organizational system. The over-the-counter market can be organized or unorganized.

An organized over-the-counter market presupposes the presence of firm rules and is based on computer communication, trade and service systems that unite professional intermediaries into a single computer market. An example of an organized over-the-counter market in the United States is the National Association of Securities Dealers Automated Quotations System (NASDAQ), which we mentioned above, which defines several levels of access to information and also defines requirements for listed shares (minimum shares in circulation, standards of declared capital and assets of the issuer, presence of at least two dealers, etc.)

The unorganized over-the-counter market covers all other transactions and methods of their organization. As a rule, the determination of the terms of transactions and their conclusion occur directly between market participants on the basis of direct negotiations.

In Russia, the over-the-counter market is associated primarily with the initial placement of securities. In the second half of the 90s. trading of corporate securities, primarily shares of privatized enterprises, was mainly carried out on the organized and unorganized over-the-counter market.

In turn, both the exchange market and the over-the-counter market take various forms of organization.

The simplest form of organizing stock trading is the spontaneous market. Here, sellers and buyers, communicating with each other, determine the level of supply and demand for certain securities and enter into transactions directly with each other. Concluding a transaction in a spontaneous market depends on how well chance brings sellers and buyers together, and the conditions for carrying out different trading operations can vary significantly even when they occur at the same moment. A spontaneous market is characterized by: the absence of a unified securities exchange rate, the lack of comprehensive information about the market; many traders.

Over time, spontaneous stock markets give way to other forms of organizing securities trading. One such form is simple auction markets. A simple auction is a mechanism for trading stock instruments, in which only buyers of securities are included in competitive relations. There is no direct competition between sellers. This form of securities trading is typical for securities markets that are at the initial stage of development.

Short-term government treasury bonds are distributed through simple auctions, and investment auctions organized by the property fund operate.

In addition to simple auctions, double auction trading systems in the form of call markets or continuous auctions can be used in the securities market. In such systems, not only buyers compete for the right to purchase securities, but also sellers for the right to sell them. An on-call market is a market in which securities are sold over a specified period of time at a specific price that matches the offer.

Continuous auction - a market in which securities are sold at a price determined and constantly changing as a result of the interaction of supply and demand (typical of a stock exchange).

The traditional form of the secondary securities market is the stock exchange - an organized, regularly functioning market for securities and other financial instruments, one of the financial market regulators serving the movement of monetary capital.

The role of the stock exchange in the country's economy is determined primarily by the degree of denationalization of property, more precisely, the share of joint stock ownership in the production of the gross national product. In addition, the role of the exchange depends on the level of development of the securities market as a whole.

Stock Exchange allows us to ensure the concentration of supply and demand for securities, their balance through exchange pricing, which truly reflects the level of efficiency of the functioning of share capital.

In addition to the above classification, the securities market can be segmented according to other criteria. By type of securities highlight:

Stock market;

Bond market;

Bills market;

Options market;

Market for deposits and savings certificates, etc.

By issuer The securities market can be divided into the market:

Private securities;

Government securities market;

By investors highlight:

Securities market for institutional investors;

Securities market for individual investors.

By territorial basis The securities market can be:

Regional;

National;

World.

Related information.

The fundamental property of the primary market is its “information openness,” which involves full disclosure of all information about both the issuer and the security itself, which makes it possible to make a rational investment decision. The secondary property implies the ability to convert a significant amount of securities into cash equivalent in a short period of time with minor exchange rate fluctuations. The secondary market ensures the redistribution of capital between the most efficient areas of activity. Comprehensive and full development secondary market is necessary condition primary functioning. In a stable market economy, the share of trade in the secondary market is many times larger in volume than the primary placement.

According to the degree of market organization, we can divide:

Organized markets - the circulation of all securities on such markets is subject to legally established rules, to which licensed professional intermediaries are subject. This type of market is characterized by fully open trading.
unorganized markets are markets that do not have a single set of rules for participants; trading is carried out in an arbitrary manner through personal contacts of market participants. In markets of this kind, there is no unified system for notifying transactions.

and over-the-counter.

Based on the location of transactions, they are divided into: over-the-counter and exchange markets, and, as international practice shows, they are not inferior to the exchange market.

The exchange market, as the name suggests, is a market organized on the basis of an exchange - stock, futures, individual stock divisions of commodity or currency exchanges, as well as brokers and various dealers. The exchange market does not own all issued ones, but only those that have passed, i.e. securities that are most fully tested for the “quality” and financial solvency of the issuer.

The over-the-counter market is a market for securities that are not admitted, for various reasons, to placement on the stock exchange. The over-the-counter market is less professional, which makes it open to the public, attracting a huge number of small investors, while becoming less speculative and therefore more stable. The over-the-counter market can be unorganized or organized by form of organization. An organized over-the-counter market is formed by divisions of banks, dealers, investment funds; this market includes electronic trading systems for various securities.

Other divisions

By type of transaction there are:
cash markets – markets with immediate execution of transactions (approximately one to two business days, excluding the day the transaction was concluded). Tradable securities: shares and .
derivatives (forward) – markets in which transactions are of a different nature, the execution period of which exceeds two days.

Participants are distinguished by citizenship:
Residents market
Non-resident market

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