Goryanskaya T. Free economic zones: the mechanism of formation and functioning

Object of research: socio-economic processes that take place in connection with functioning of FEZ institution in modern market economy. Purpose of research: explore essence of FEZ as economic category; analysis of system of economic relations to free economic zones; methodology grounds and mechanisms formation of elaboration and effective functioning of FEZ under conditions of economy in transition of Ukraine. Methods of research: method of system analysis, method of logical generalization, system and complex approaches, analysis and syn-thesis, methods of quantitative descriptions. Results: methodologically grounded new notion that, institu-tional investors are the system of financial organiza-tions, which is self-organizing and its functioning basis lies on principle "of collective individualism"; author conception of institutional investors' structur-ing is offered; the indexes that cause the forming and functioning mechanisms of institutional investors are defined; key role of institutional investors in resolv-ing of production-economic problems is revealed; intercommunication between institutionalization process and world financial system development is established; institutional investors participation in decision of certain social problems is defined; the basic features of forming and functioning of the sys-tem of institutional investors in Ukraine are revealed; factors that suppress dynamic development of insti-tutional investors in Ukraine are defined, and per-spectives as to their further development are consid-ered as well. Novelty: essence of new economic categories: "system of institutional investors" and "system of institutional investing" is revealed; meth-odologically grounded the notion that institutional investors are the self-organizing system that includes the elements that interact as with each other as with environment i.e. individual investors, financial man-agers, fund markets, state organs and etc.; author conception of division into periods the institutional investors system evolution in intercommunication with development of world fund markets is offered; the place of institutional investors in resolving the basic production-economic, financially-investment and social problems is defined; for the first time the degree of institutionalization of fund markets is ana-lyzed; holistic system of common problems as for all institutional investors, as for separate organizations, and basic directions of their further development in Ukraine is outlined. Field of use: republican.