Auxiliary financial corporations in the securities market of Ukraine

Abstract

The sector of financial corporations (financial sector) is defined as a set of financial intermediaries, auxiliary financial corporations and other financial corporations, the specificity of which is that they carry out financial and insurance activities in accordance with the current legislation, as well as non-profit organizations associated with these institutional units. It is proved that in Ukraine there is no majority of financial institutions operating in foreign markets and included in the sector of financial corporations. National and international classifiers made it possible to include in the national sector of financial corporations: 1)  financial intermediaries (the National Bank of Ukraine, other deposit corporations; collective investment institutions); other financial intermediaries, except insurance companies and non-state pension funds; insurance companies; non-state pension funds); 2) auxiliary financial corporations and non-profit organizations (in the field of securities market, insurance and non-state pension provision, information services); 3) other financial corporations that are captive financial institutions. The essence and types of professional activities in the securities market were comprehensively investigated, which included the following activities: trading in financial instruments, activities for organizing trading in financial instruments, clearing activities; depository activities, asset management activities of institutional investors, property management activities for financing construction projects and/or real estate transactions, as well as activities for the administration of non-state pension funds. Auxiliary financial corporations in the securities market are defined as institutional units that operate in the legal form of a joint stock company, limited liability company or additional liability company, carry out professional activities in this market, are engaged in its servicing, but do not acquire ownership of the financial assets and liabilities with which they deal. Approaches to the essence and structure of auxiliary financial corporations in the securities market may vary significantly depending on economies, schools of thought, etc., but should be consistent with the current realities of market development.