Prospects for financial market regulation
Importance The financial market is an important part of the economic system, and it is essential to constantly improve its regulation. The regulation consists of solving the unstructured and poorly structured problems of coordinating the organization, stimulation and responsibility in the sphere of finance. The theoretical link of financial market with supervision and regulation models is not always present in practice. The integrated model of the Russian financial market regulation does not guarantee achieving high results. Therefore, it becomes increasingly important to create an effective model for financial market regulation. Objectives The objective is to determine the prospects for developing the financial market regulation based on the study of theoretical developments and practical experience in this area. To meet the objective, it is necessary to analyze the relationship of the depth of the financial market and regulatory models, to research the organization of the existing systems of financial supervision and regulation in the world, to study the organizational changes in the Bank of Russia and the problems of self-regulatory organizations, and to improve the legal framework. Methods The study of the existing systems of financial supervision and regulation bases on the methods of comparative analysis, expert evaluation and heuristic modeling. It enabled to determine possible areas of development of the financial market regulation. Results We have stated possible ways of development of financial supervision and regulation in the Russian Federation. The results may be useful for improving the regulation of financial relations, as well as for academic work with students majoring in economics. Conclusions and Relevance The financial market plays a crucial role in the economic development of the country. The integrated model of financial regulation in Russia does not necessarily ensure high efficiency and can be regarded as an intermediate one. The Bank of Russia, being a mega-regulator, conducts organizational and regulatory efforts to improve the regulation. The most promising development areas for financial supervision and regulation include creating an effective system of financial risk management in banking groups and holdings and changing the role of self-regulatory organizations acting as professional participants of the financial market.