HEDGING INSTRUMENTS AND THE CONDITIONS OF THEIR CIRCULATION

The Ukrainian derivatives market is considered in the context of prospects of circulating derivatives, which can be used to hedge banking risks. It is discovered that domestic legislative regulation lacks the mechanisms to regulate the derivatives market, and the existing legislation does not cover all aspects of the circulation of derivatives. The development of the legal aspects of the derivatives market regulation in Ukraine is a promising area of scientific research. In the context of development of institutional conditions for effective derivatives market functioning it is necessary to implement new legislation regulations to be realized within the framework of the reform of the stock market of Ukraine. In addition, the currency liberalization is extremely important in the course of integration into the European financial space. This corresponds to the obligations undertaken by Ukraine in the context of the EU-Ukraine Association Agreement. These measures, together with the package of changes in the stock market (capital market), will facilitate the development, especially for companies engaged in financial and investment activities. For the stock market (capital market) in Ukraine this means that participants will have access to the international financial infrastructure and instruments that can be a favourable basis for the development of the mechanisms to hedge risks.



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