BANKS INVESTMENT ACTIVITY ON STOCK MARKET OF UKRAINE
The article deals with the revealing features and dominant factors influencing the formation of bank securities portfolio in terms of stock market of Ukraine. The dynamics of gross domestic product and total assets of Ukrainian banks, as well as the structure placement directions of banks accumulated resources have been analyzed. The trend to restructure bank balance in the direction of increasing the share of securities and reducing the share of credit that allows to reduce the riskiness of banking were discovered. It`s established that banks prefer debt securities (90% in total bank portfolios), the proportion of shares and other equity securities is negligible, the major causes of this phenomenon were identified. The economic impacts on stock indices, as well as the relationship between credit ratings provided by Ukrainian rating agencies and issuers of securities defaults were investigated. The regulatory requirements for banks in the stock market, which impose additional restrictions on them compared to other investors were generalized. The influence of mandatory standards of central bank as to investing and requirements for provisioning for impairment of securities in the investment banks were analyzed. Directions of revitalization of banks on the stock market were outlined.
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Keywords: bank securities portfolios, stock indices, risk, issuer credit rating. |
BANK OPERATIONS
Prymostka Andriy
Postgraduate Department of Information Systems in Economy, SHEI «Kyiv National Economic University named after Vadym Hetman»
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