Organizational and legal problems of the functioning of the stock market of Ukraine

Abstract

The presented article examines the problems of formation and development of stockexchange business in Ukraine during the last decade. The variety of scientific and normative viewson the definition of the stock market is indicated, as a result of which a conclusion is made aboutthe correctness of a broader perception of this concept, namely as legal relationships of exchangeparticipants on placement, circulation, accounting of securities and derivatives.

Some statistical information on the current state of the stock market of Ukraine is analyzed, which shows the similarity of the movement of indices of stock exchanges of Ukraine and worldcountries, positive dynamics of the UX index compared to last year, reduction of the total number ofexchange organizations in Ukraine, which should also be assessed positively.

In general, there is a tendency to develop stock relations in Ukraine, which is, however, quite slow. Factors due to which there are obstacles to the sustainable functioning of the country'sstock market, which do not allow to effectively perform its functions of capital allocation andconstant investment in the economy are considered. Among them: significant dependence of theUkrainian stock market on the negative impact of global external factors (pandemic, armedconflicts, political changes, etc.); too high level of capitalization of fuel and energy companies, which leads to the uniformity of exchange goods (relevant stocks); the impossibility of seriouscompetition of securities of Ukrainian companies with foreign "blue chips" presented on theUkrainian Stock Exchange; poor awareness of potential investors about the possibilities ofinvesting in securities as well as the presence of biased information about potential objects ofinvestment in the stock market of the country; high level of stock market manipulation andviolations of investors' rights, which leads to investors replacing national platforms for stockinvestments with foreign ones.

There is the conclusion about the multilateral issues on becoming of effective stock marketexchange relationships in Ukraine, the solution of which should begin with the improvement of itslegal regulation using, first of all, the economic-legal toolkit.