Subject The article analyzes programs of State regulators and stock exchanges, which spur the new market segment development, namely, algorithmic trading. It investigates legislative and technological measures applied in the leading global financial markets. Objectives Studying the world markets' experience in incentives for algorithmic trading development allows assessing general prospects for this method of operation on the exchange. Understanding the general nature of applied measures and instruments may lead to introducing the best practices in the domestic stock market. Methods We analyzed relevant legislation, internal rules of stock exchanges, experts' opinions, and systematized analytical information in this sphere. Results In the course of the research we demonstrated that adopted legislative and technological measures contributed to successful development of the algorithmic trading segment. Their specifics show the interest of regulators and exchanges in further development of algorithmic trading. Conclusions The observed nature of measures to boost algorithmic trading demonstrates a general tendency of stock markets' transfer to total automation of trading based on robot systems. The regulatory measures applied to this segment tend to have a significant positive effect on its development. As a result, we may expect further development of algorithmic trading and, consequently, strengthening its impact on market trading. The findings may be used by specialists of regulatory organizations, exchanges, employees of investment and brokerage firms that employ algorithmic systems for stock market trading.
Keywords: stock market, algorithmic trading, positive impact, incentives, development
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