Sharavara R. The formation of an equity market in the conditions of economics transformation in Ukraine

The object of the dissertation research is the business system of Ukraine being in the state of market transformation and the processes of equity market formation. The aim of the dissertation research is to fulfil the through analysis of the processes of formation and functioning of the equity market and to base the practical recommendations on its further development in the transformational economics of Ukraine. The methodological basis of the dissertation research is the dialectical method as a general scientific method of knowledge of social and economic phenomena. In view of the complexity and multiplicity of the economic relations arising on the stock market different scientific methods were used. They are the method of system and logical analysis to find out the complex of factors that determine the characteristics of the domestic equity market formation; the method of historical and economic analysis and theoretic generalization to define the priority factors which influenced on the process of formation of the modern stock market of Ukraine; the method of comparative analysis to show the main directions of the state regulation and the self regulation of the stock market; the inductive method during the assemblage, systematization and processing the information; the method of classification for the specification of the contents, the structure of separate categories and the system of the financial market in whole. While investigating the peculiarities of the formation and development of the equity market of Ukraine the elements of evolutional and institutional approach were used. The theoretical and methodological basis of the dissertation research is study and creative re-interpreting of the main advances on the question of functioning of the equity market as a part of the financial market made by native and foreign scientists. The informational basis of the research is the official statistic materials, the materials of the analytical agencies, the primary materials of the domestic and foreign stockmarkets, the normative and legal documents. The thesis shows that the financial market has the highest degree of generalization because it allows performing all the investment and credit operations. The equity market was examined as a part of a financial market and a multifold social and economic system. The thesis proves that it is not worthwhile to tell the difference between the terms equity market and stock market in the conditions of economics transformation. The instability of economical information does not allow using modern methods of investigation for the construction of indices and ratings of the stock market in Ukraine. The modern Ukrainian indices perform mainly indicative function. The thesis investigates main principles and grounds for the formation of the Unified exchange stock system of Ukraine as a mechanism of consolidation of the equity market and its formation according to the monocentric model. The voluntary joining of stock market participants with the mandatory inclusion of infrastructure elements must be at the heart of such consolidation. The thesis defines that the influence of state on the formation of the equity market should be directed to the anticipatory development of its informational, registration, depository and clearing infrastructures. The theoretical importance of the research is to carry out the complex research of the socio-economic and macroeconomic aspects of functioning of the Ukrainian stock market and generalization the main regularities of its formation and development. The substantiation of the concept of the uniform stock exchange system in Ukraine and the mechanisms of its plantation are greatly important. The first step was made to extend the political economy aspect to the analysis of the categories of "financial market", "stock market", "equity market" and "security". The practical importance is that the main theoretical aspects and conclusions of the research as well as its methodological recommendations can be used in the practical activities on the further formation, functioning and development of the equity market in the transformational economies. The separate regulations were approved in practice during the working up the strategy of behaviour of the AVAL Bank on the equity market (the act of application №874/3 from 16.09.2004). The main theoretical aspects and conclusions of the research are used in the academic process of Poltava State Pedagogical University named after V.G.Korolenko on teaching the courses "Economic Theory", "Money and Money Turnover", "Banks and Banking" and "The Organisation of Entrepreneurship" (certificate №4318/01-37/29 from 01.10.2004).