organized securities market - a whole economic system, forming the supply and demand for them.Securities issued in the form of forms, various certificates.They can be used for the owners of the settlements, and as collateral.The Central Bank may be registered or bearer.
exchange market participants are investment institutions, issuers and investors.Stock market securities inherently - part of the overall financial market, with the help of which the fast activation of investments in various economic sectors.
structure the securities market consists of the following elements in itself: actors;market (exchange and over the counter);government regulatory bodies;individual organizations and their own infrastructure.The structure of the securities market is complex and multifaceted, has many different characteristics.Therefore, in order to evaluate it properly, it is necessary to consider each item in detail.Let's start with the subjects of the securities market.
relate to subjects of market investors, issuers, professional institutions.In turn, the Central Bank of the stock market is divided: the primary and the secondary market.On the primary market for private securities placed first and repeated issues among individual investors in a strictly limited quantity.At the primary public market place securities are available to all investors on an unrestricted basis.The secondary market is also divided into two categories - it is OTC and exchange markets.On the stock market sold the securities of large companies that meet the standards of the market (they have to handle a large number of shares, provided the degree of reliability).The OTC market is working with other investors - large companies, whose pace and size of a few do not reach the established requirements of the exchange market.Moreover, the OTC market has a very high level of liquidity in various activities.In some countries, the volume of the OTC market, and sometimes are significantly ahead of the volume of stock markets (New York Stock Exchange and Russian).Sale of government securities as via the OTC market.
structure of the securities market within itself or another in their own infrastructure consists of the following sections.This is a legal department, information, depository, clearing and settlement and registration.Moreover, all these departments have a different focus, solve common challenges of the market.And this, above all, the general organization of the trading process, the formation of the price of the course, providing all the necessary information to bidders, lending the state, providing liquidity, etc.
structure of the securities market in its composition also has different types of stock exchanges.For example, stock exchanges are public, private and mixed.
Thus the process of organization of trade any valuable asset to them, methods and mechanisms used tendering little different.It all depends on the degree of development of the stock market, the number of securities, as well as the number of orders for their implementation or purchase, on the change of price dynamics.Basically, the following methods of trade.This is - a simple and a double auction.In turn, the simple bids can be arranged in the form of an auction seller, buyer, or by default.At the heart of the auction seller is raising the prices of securities in the bidding process.At the heart of the auction the buyer is the opposite.Here, there is a decrease price of the securities in the bidding process.In trading on the basis of absentee auction is a limited amount of valuable assets (CB) to the approved price threshold, which will be sold only to a strictly limited period of time.After its completion, the seller shall consider all available applications and sells securities at the price offered by the buyer above a threshold level or perhaps equal to it.
