Volatility of the stock market of Ukraine MANIFESTATIONS IN THE CONTEXT OF ITS INVESTMENT APPEAL
The paper research priority was to evaluate the level of volatility (as a measure of market risk ) of the National Securities Market versus Emerging and Developed markets markets, as well as strengthening of financial globalization led to a marked intensification of volatility in stock markets, strengthened the effect of spreading financial turmoil in world space. It was determined that the stock market in Ukraine has one of the highest levels of volatility in the world both in the short and in the long run, indicating a high level of market risk and investment unattractive market. Revealed cyclic nature of the national stock market volatility in the short term.
The study determined that the volatility of the stock market of Ukraine exercises influence the level of market risk than developed stock markets (Developed markets) and emerging markets. The most significant dependence of the observed volatility of the stock markets of Australia, Russia, Malaysia and Austria. These markets are characterized by some of the biggest indicators of annual historical volatility.
The study made it possible to conclude that the more mature markets are formed, the closer they transition economies to developed countries, especially with regard to financial investments, the more stable is their functioning that turn, leads to lower values of market risk in the long term and vice versa.
Determined that the high volatility of the domestic stock market in the short and long run foundation promotes short-term speculative trends, increased vulnerability to negative publicity due to the lack of financial and shoulder as a result - reduction of investment attractiveness of Ukrainian issuers and the market does not perform a functional purpose - generating and redistribution of capital. In this regard, along with the urgent problems of the solution of the national stock market at the present stage of development, namely: a significant dominance of primary sector in the stock market over the secondary, limited range of securities, poor infrastructure of trading the stock market, low market capitalization crisis of corporate governance, lack of transparency of the information field in the market, not the stock market popularization among the subjects of the investment process is conditioned by the need for development and implementation of effective management of market risks in order to reduce speculation of a national securities market (saturation long money) and facilitate interconnection ‘ communication market and the real economy . In modern practice, stock, market risk level it serves as one of the main exponent of investment attractiveness of domestic securities.
[Download PDF version]
Keywords: volatility, market risk, a developed stock market, stock markets, developing near-boundary stock markets, security |
MACROECONOMICS
Neskorodeva Inna
Ph.D., assistant professor of finance Kharkiv National Economic University. S. Kuznets
|
