The Financial Markets

6.       There were positive shifts in an infrastructure of the market. Risks of investors, especially regarding conducting registers and protection of shareholder rights at additional issues of shares have decreased. «Now it is already possible to speak about formation in Russia civilized system of registrars, deposit takers and organizers of trade in the security market».

7.       Improvement of the information environment that was promoted by an establishment of requirements to disclosing of the information as emitters, and organizers of trade.

8.       Preserving of close interrelation between a market condition and a political country situation.

9.       Relative exchange stabilization of rouble and delay of inflation rates, decrease in profitableness of government securities.

It allows making two important conclusions.

First, the begun modulation of financial resources between two largest segments of the Russian security market (segments of state credit obligations-federal loan bonds and shares) allows to speak about growing integrity of the market which is shown including in the increased interrelation between profitableness of government securities and quotations of the most liquid shares. Simultaneously it means that orientation of the market of corporate securities not only to the western investors, but also to internal realities has amplified.

Secondly, with accounting concerning the offer of liquid papers limited for today in the given market the growing demand from foreign and Russian investors creates rather strong base for growth of a course stock value and capitalization of the market as a whole.

10.   Stock quotations became sensitive to large changes of a world conjuncture (for example, taking place temporary growth of stock quotations of the Russian pulp-and-paper industrial complexes owing to growth of a world demand and the prices for a paper).

11.   Considerable dependence of a market situation of shares on orders of the foreign investors showing the basic demand for papers of those or other enterprises Remains. «Portfolio investments of global funds in turn have cyclic character depending on terms and volumes allocated« to Russia »means and a political conjuncture».

12.   Growing interest from the largest Russian emitters to the program of release ADR and GDR.

13.   The Begun process of attraction of the capital by the Russian emitters in the international stock market.

One of the basic indicators characterizing appeal of securities and economy as a whole, capitalization is. Capitalization is traditionally determined as product of the price of a security on quantity of securities in circulation.

Unconditional leaders on capitalization in Russia are three industries of a national economy:

       Oil and gas (including processing);

       Power;

       Communication (telecommunications).

Now complete market capitalization of the Russian market constitutes an order of 12 % from GNP that much more low, than in developed countries.

Further it is necessary to expect growth of capitalization of the Russian stock market in which basis following factors lie:

       Considerable underestimation of shares of "the second echelon»;

       The further decrease in policy risk;

       Inflow of a part of means from the market of government securities;

       Growth of investments of global funds;

       Decrease in infrastructural risks;

       Development of system of collective investors.

Chapter 3.

3.1 Prospects of the international finacial market.

For the last to steam of decades, in world stock market its elevating is considerably felt. It is caused by expansion of these markets in the countries with the developed economy, and the countries developing economy, and creation of the new markets in the countries having transitive model of economy.

What tendencies will be shown in connection with such rapid growth how this growth to be displayed on world economy and economy of the separate countries? Here it is necessary to consider such indicator of expansion of stock market as capitalization – aggregate value of all shares of the companies which are admitted before trade in the market.

Growth of capitalization can be caused two reasons. The first is a rise in prices directly on securities. The second, growth of quantity of the enterprises and the companies issuing shares for trade in them in the market. The second reason, as a rule, is actual for emerging markets. As in the markets of developed countries this size it is possible to tell it is constant.

For last twenty years considerably high indicators of capitalization have been noted. And only during the last years given indicator of growth of world stock market has a little decreased owing to world financial crisis. However, if to look in aggregate for last 20 years that an indicator of capitalization of the world markets has grown in 13 times. And the general or cumulative income of gross national product has increased in 2,5 times.

The carried out analysis of the stock exchange markets of standard contracts

Allows with sufficient degree of confidence to assert that the cores

Directions of their development in medium-term prospect will be:

       the further optimization of a global stock exchange infrastructure, decrease operational expenses and granting to participants of the additional possibilities;

       globalization of the markets derivatives, international alliances, granting of possibilities of simultaneous trade in the various jurisdictions;

       continuation of transition to electronic trading systems despite the argument of supporters pit-based systems;

       entering of contracts on new underlying assets, satisfaction requirements of a risk management for changing structure of the world markets;

       the further development of optional trade;

       activation of the American regulation authorities and stock exchanges, attempts deduction of a reduced world market share;

       enhancement of state regulation of the markets derivatives with the cost reduction goal of participants, giving to the market bigger flexibility and decrease in systemic risk, harmonization and unification of adjustment in the international scale;

       rapprochement of the exchange and off-exchange markets on the basis of the exchange clearing.

3.2. Prospects of the Russian financial market

The Russian stock market is attractive to foreign investors. Speaking about merge of assets in our country, it is possible to allocate following features:

       Strong influence of the state the most attractive industries;

       Weakness of industrial sector as a result of an economic crisis;

       Proceeding instability in the politician and economic development of the western potential investors;

       High debt obligations of many Russian companies;

       Achievement of almost maximum limits of growth by such traditional investments, as precious metals and gold;

       Mistrust of domestic businessmen to foreign private equity funds owing to various conditions (a dissimilarity of traditional Russian and foreign management methods, unwillingness to transfer the control over the enterprise, etc.);

       Failures in activity popular there are the PIFS, caused, according to the specialist, nonprofessional management.

Conclusion.

In summary it would be desirable to add that despite adverse forecasts of development of our economy for the short-term period and the further recession of gross national product it is possible to hope that the Government any more will not admit such errors and will perform henceforth the weighed indicative financial policy, including concerning stock markets.

The list of literature.

1. Mirkin A.M.securities and stock market. M, Prospect

2. The security market / under the editorship of Galanova and Basova. M, the Finance and statistics,

3. Securities. N.I.Berzon, M, FiS,

4. IMF Working Paper,

5. The bulletin of BULLOCK CARTS

6. The finance

8. БИКИ

9. New time

10. The power

11. The security market

12. Economy and life

13. Economy and life (your partner – the adviser)