Participants in the securities market and the role they perform
The most important structure of the financial categoryThe securities market is represented by stock exchanges and their participants. These are individuals, legal entities and organizations selling and buying property documents. They also make a turnover and produce a settlement service.These include self-regulating organizations, issuers and investors. In addition, professional participants of the securities market are also included in this list. They are enterprises that serve the market.
An investor is a person who hasproperty documents on the basis of ownership. This role is played by various participants of 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 the country of their origin.
The issuer may be a local authorityself-government, executive power, as well as a legal entity that, on its own behalf, must incur obligations to holders of property securities on the basis of the rights assigned to them. These are any subjects of the economy that are residents of a particular country.
Such participants of the securities market as institutionswith independent regulation combine voluntary associations and entrepreneurial institutions, which in the process of doing business establish formal rules for their members. In addition, this includes non-profit organizations. At the same time, participants of the securities market enter into economic relations with each other.
Professional activities carried out in thesphere of property documents, is the allocation of financial resources. It is based on property documents, information and organizational and technical services for their circulation and release.It is divided into certain types. The main of them: dealer, brokerage, depository and consulting types of activities, material mediation and definition of cash.
The main participants of the securities market havedirect relation to the register containing the list of their holders. This is the basis for recording the rights to own property documents. The system of keeping the register, in addition to the base, has available the appropriate technologies intended for its maintenance. It involves the storage of data and the implementation of other organizational arrangements. In its composition, it has the information required by the investor to certify its rights to securities, and also contains the issuer's duties in relation to it. The registrar keeps information about the documents and the details of the participants.
Such data is kept on personal accountsinvestors. They change when selling or buying securities. Such a method has a basis, which is the properly executed order of the seller, where the latter instructs the production of the necessary transfers to the registrar. In addition, additional documents may be needed. According to the legislation currently in effect, securities market participants are able to combine different types of professional activity.