Participants in the securities market and the role they play

2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16

The most important structure of the financial category of the securities market is stock exchanges and their participants. These are individuals, legal entities and organizations that sell and buy property documents. They also make a turnover and perform a settlement service.

These include self-regulatory organizations, issuers and investors. In addition, this list also includes professional participants in the securities market. They are the enterprises serving the market.

An investor is a person who has property documents on the basis of ownership. This role is played by various participants in the securities market, from ordinary individuals to the state. Most often, investors are divided into two categories according to the methods of obtaining income and their country of origin.

The issuer can be a local self-government body, executive power, as well as a legal entity that, on its own behalf, must bearobligations to the owners of property papers on the basis of the rights assigned to them. These are any economic entities that are residents of a particular country.

Securities market participants such as self-regulated institutions combine voluntary associations and entrepreneurial institutions that, in the course of doing business, establish formal rules for their members. It also includes non-profit organizations. At the same time, participants in the securities market enter into economic relations with each other.

Professional activity carried out in the field of property documents is the distribution of financial resources. It is based on property documents, information and organizational and technical services for their circulation and issue.

It is divided into certain types. The main ones are: dealer, brokerage, deposit and consulting types of activities, material intermediation and determination of funds.

The main participants in the securities market are directly related to the register containing the list of their owners. This is the basis for accounting for the rights to own property documents. The registry system, in addition to the base, has the appropriate technologies designed to maintain it. It involves storing data and performing other organizational activities. In its composition, it contains the information required by the investor to certify his rights to securities, and also contains obligationsissuer in relation to it. The registrar stores information about documents and details of participants.

Such data is contained in the personal accounts of investors. They change when securities are sold or purchased. This method has a basis, which is a properly executed order of the seller, where the latter entrusts the execution of the necessary transfers to the registrar. In addition, additional documents may be required. According to the legislation that is currently in force, participants in the securities market are able to combine various types of professional activities.