+7 925 966 4690, 9am6pm (GMT+3), Monday – Friday
ИД «Финансы и кредит»

JOURNALS

  

FOR AUTHORS

  

SUBSCRIBE

    
Finance and Credit
 

Improving the approaches to prudential supervision of trust manager activity in the securities market

Vol. 21, Iss. 39, OCTOBER 2015

PDF  Article PDF Version

Received: 9 July 2015

Accepted: 22 July 2015

Available online: 28 October 2015

Subject Heading: Securities market

JEL Classification: 

Pages: 58-68

Lyuts E.V. Omsk State University, Omsk, Russian Federation
katarina55luz@gmail.com

Importance The need for domestic stock market evolution and investor interests' protection necessitates the search for efficient tools to anticipate crisis developments in the securities market and the fiduciary management market being its segment.
     Objectives To achieve stable performance of trust managers, it is necessary to develop preventive measures, which will enable early detection of deterioration in the financial position. Meanwhile, the measures should extend the standard list of liquidity and financial solvency ratios, consider the trustor-trustee relationships, and contractual practices applied by trustees.
     Methods The neo-institutional contract theory serves as a theoretical foundation; it enables to highlight the bottlenecks in the trustor-trustee interrelations and to evaluate the prospects for their further cooperation.
     Results I offer and prove the method of contractual regulation as a tool for prudential supervision of trustee activities. The method includes arrangements to increase financial awareness of people as to making and implementing fiduciary management agreements; a set of ratios reflecting the contractual practices of the trustee and warning of possible aggravation of financial standing of professional participants; the ranking of the trustee financial standing based on the ratio values and measures to improve the financial stability of professional participants.
     Conclusions Despite the apparent difficulty in the formalization and quantitative measurement of fiduciary management agreements, the contractual regulation allows predicting the changes in the financial standing of the trustee and its possible bankruptcy based on how the trustee builds relationships with trustors, honors their rights and respects their interests.

Keywords: fiduciary management, securities market, prudential supervision, contractual regulation, government regulation

References:

  1. Rukosueva A.A., Ponomarev O.V. Tsentral'nyi Bank Rossiiskoi Federatsii kak organ bankovskogo regulirovaniya i bankovskogo nadzora [The Central Bank of the Russian Federation as a body of banking regulation and banking supervision]. Available at: Link. (In Russ.)
  2. Sarkisyan T.S. K voprosu o finansovom nadzore i podkhodu k ego organizatsii [On financial monitoring and approach to its organization]. Den'gi i kredit = Money and Credit, 2007, no. 4, pp. 20–23.
  3. Molchanova L. Institutsional'nye reformy i ikh vliyanie na regulirovanie deyatel'nosti predstavitelei finansovogo posrednichestva [Institutional reforms and their influence on regulation of financial intermediaries]. RISK: Resursy, informatsiya, snabzhenie, konkurentsiya = RISC: Resources, Information, Supply, Competition, 2011, no. 4, pp. 641–643.
  4. Burova D.V. Finansovyi kontrol' deyatel'nosti professional'nykh uchastnikov rynka tsennykh bumag [Financial supervision of the securities-market professional participants]. Aktual'nye problemy rossiiskogo prava = Topical Issues of Russian Law, 2010, no. 3, pp. 113–125.
  5. Ogorelkova N.V. Voprosy razrabotki prudentsial'nykh normativov na rossiiskom strakhovom rynke. V kn.: Ekonomika i upravlenie innovatsionnymi protsessami, proektami, programmami. Materialy Mezhdunarodnoi zaochnoi nauchno-prakticheskoi konferentsii [Developing the prudential ratios in the Russian insurance market. In: Economy and management of innovation processes, projects, and programs. Proceedings of International Scientific Conference]. Omsk, Omsk State University Publ., 2015, pp. 161–165.
  6. D'yachenko E.M. Prudentsial'noe regulirovanie bankovskoi deyatel'nosti [Prudential regulation of banking operations]. Obshchestvo i parvo = Society and Law, 2011, no. 3, pp. 110–114.
  7. Latypova G.R., Dalaev L.M. Sovremennoe sostoyanie i puti razvitiya bankovskogo nadzora i regulirovaniya v RF [The current state and development options of banking supervision and regulation in the Russian Federation]. Available at: Link. (In Russ.)
  8. Efremov A.P. Sovershenstvovanie sistemy prudentsial'nogo nadzora na rossiiskom rynke tsennykh bumag [Perfecting the prudential supervision system in the Russian securities market]. Teoriya i praktika obshchestvennogo razvitiya = Theory and Practice of Social Development, 2014, no. 6, pp. 165–167.
  9. Fotiadi N.V. Sovershenstvovanie risk-orientirovannogo nadzora s tsel'yu podderzhaniya finansovoi ustoichivosti bankovskoi sistemy Rossii [Improving the risk-oriented supervision to maintain the financial stability of the Russian banking system]. Ezhegodnik “Vittevskie chteniya” = Witte Readings Yearbook, 2014, no. 1, pp. 139–144.
  10. Kotlyarov M.A. Konsolidirovannyi nadzor na finansovom rynke [Consolidated supervision in the securities market]. Finansy = Finance, 2012, no. 11, pp. 59–62.
  11. Gorlovskaya I.G. Gosudarstvennoe i kontraktnoe regulirovanie uslug professional'nykh sub"ektov uchetnoi sistemy rossiiskogo rynka tsennykh bumag [Governmental and contractual regulation of services rendered by professional participants of the recording system of the Russian securities market]. Available at: Link. (In Russ.)
  12. Grishina N.P. Regional'nye osobennosti i sravnitel'naya kharakteristika individual'nogo doveritel'nogo upravleniya finansovymi aktivami [Regional specifics and comparative analysis of the individual fiduciary management]. Regionologiya = Regionology, 2007, no. 1, pp. 111–119.
  13. Osipov S.Yu. Investitsionnye sberezheniya naseleniya na fondovom rynke Rossii: kategorial'nye utochneniya i institutsional'nye mekhanizmy [Investment savings of individuals in the Russian stock market: category-related specification and institutional arrangements]. Bankovskiye uslugi = Banking Services, 2009, no. 5, pp. 31–37.
  14. Srebnik B.V. Deyatel'nost' po upravleniyu tsennymi bumagami [Securities management activity]. Finansovyi vestnik: finansy, nalogi, strakhovaniye, bukhgalterskiy uchet = Financial Bulletin: Finance, Taxation, Insurance, and Bookkeeping, 2009, no. 11, pp. 91–96.
  15. Zverev V.A. Individual'noe doveritel'noe upravlenie – novyi finansovyi instrument dlya investorov [Individual fiduciary management as a new financial instrument for investors]. Spravochnik ekonomista = Economist’s Guide, 2010, no. 12, pp. 41–46.
  16. Lyuts E.V. Mekhanizmy sovershenstvovaniya doveritel'nogo upravleniya na rossiiskom rynke tsennykh bumag [Mechanisms to improve trust management in the Russian securities market]. Dostizheniya vuzovskoi nauki = Developments in Academic Science, 2014, no. 12, pp. 139–143.

View all articles of issue

 

ISSN 2311-8709 (Online)
ISSN 2071-4688 (Print)

Journal current issue

Vol. 30, Iss. 3
March 2024

Archive