The stock market of Russia and Italy: dynamics of development and comparative characteristics

Key findings can be expressed as the following conclusions:

1. Stock market is a segment of the financial market and the infrastructure element of economic policy, which allows us to solve a variety of macro-economic issues, including the rise of the concentration and the socialization of production, mobilization of free cash flow and direction of these funds in the desired segments of the economic system, the activation of the investment process, the transformation of savings businesses and the public investment resources, increasing the income capitalization of market agents, the formation of involvement of each household in market conditions and the economic transformation of the private ownership of a wide range of market agents in the capital that generates income.

2. The criteria for a well-functioning market, among which are:

- market capitalization;

- liquidity of the market;

- stable foundation of the stock market, the focus on the needs of the national economy;

- reducing the relative dependence on world financial markets;

- information field.

The social function of the stock market appears to enable people to more profits and the formation of owners of securities. In addition, the flow of capital contributes to the creation of additional jobs. Taking into account the stages of the operation, allocate primary and secondary securities markets. In the primary market will initially be allocated securities to investors. The main task of the primary market is to minimize the risk of the investor. This is the aim state legislative regulations governing the operation of the market. The primary market securities are reviewed: the major emitters, the main investors, the main objects of transactions, the main forms of agreements. The main issuers is the state, private companies, international bodies.

The main investors are the people, the government, commercial bodies. The objects of transactions are public, private and international securities. There are two forms of transactions - offering of securities by way of auction or public sale.

Initial placement of securities shall be made in stages. First, the issuer decides to issue securities, then there is the open or private placement. Open seating provides for the registration of information on the securities issue and the organization to subscribe to them, a private placement of securities occurs among individuals. At the final level of the securities are issued to the owners or the owner is registered in the system registry of owners. The secondary market provides trading of securities. Its main function is to create conditions for the general trading of securities, provision of liquidity, to determine the market price of the securities and the provision of information about its changes.

For organizational forms are distinguished Stock Exchange and OTC securities market. Exchange market, as a rule, is the secondary, submitted by the stock exchange. That is, it is a market with a high level of organization at which special rules made the purchase and sale of securities. The main subjects of the exchange market are the sellers, buyers and intermediaries - brokers, dealers.

CHAPTER 2. THE STOCK MARKET OF RUSSIA AND ITALY: DYNAMICS OF DEVELOPMENT AND COMPARATIVE ANALYSIS

The object of this chapter is to study the stock market of Russia and Italy, the dynamics of its development and comparative characteristics that affect the acceleration of economic growth in the process of social reproduction. The subject of the study is social and economic relations that arise between the subjects of the economy during the action of the stock market to accelerate economic growth.

The field of study: the development of stock market of Russia and Italy, the state-of-the-art, the quality of institutions. Most of the authors (both Russian and European) are based on the classical theories and models that are losing relevance to the development of economic relations, the financial crisis and changing the priority of the basic functions of the stock market. The new models presented in journalistic materials often have strong political or geographical focus. The important point is the use of theoretical and methodological approaches to the particular economy, such as the post-socialist economy in Russia.

2.1 Russian stock market: the development and current state

Russian stock market is a holistic system of financial relationships between people, based on the trading of shares and securities of all kinds. It is difficult to account for market investors because they invest their money in the campaign, and not to lose your capital, you need carefully research each company. After losing their money because the campaign has become bankrupt, nobody wants it. Although this happens quite often, because the shares of major campaigns are not available to ordinary investors because of the high price, and the available securities of small companies may at any time become unnecessary. Of course, if he wins the investor will receive fabulous profits, but also the risk of losing money is also very high.

Officially, Legal beginning of the stock market in Russia can be considered as the introduction in the summer of 1990 resolutions of the Government of the USSR «On Joint Stock Companies» and the «Securities Act». These provisions shall remain in force until now.

Organizational first commodity exchange was established. Shares of commodity exchanges - the first that have been issued and purchased. Until November 1991 80% of the shares were sold shares of commodity exchanges, then there were the shares of banks and a number of large joint-stock companies.

At this time there were many violations (institutional and legal). Therefore, the interest in the stock market quickly faded, and economic analysts have noted a depression in the stock market. To a certain extent, this can be explained by the fact that Russia had no experience of Investment Banking, specialists; there was no reliable information, so the true moment of the creation of the stock market in Russia is 1992. This was facilitated by the creation of the Moscow Interbank Currency Exchange and the Moscow Central Stock Exchange, the Russian Commodity Stock Exchange, St. Petersburg Stock Exchange, the South Urals Stock Exchange.

Over the past few years along with the development, the expansion of the securities on the stock market occurred negative phenomena that accompanied the collapse of a number of investment companies, banks, sharp fluctuations in exchange rates, etc. In the development of the Russian Stock Exchange can note a number of stages.

1. 1992 - mid-1993. This phase is associated with the occurrence of the foreign exchange market on the Moscow Interbank Currency Exchange and, therefore, with the expansion of the scale of U.S. dollars.

2. 1993 - 1994. Begins the process of privatization, are auctions, the sale of shares of privatized enterprises. In May 1993, itsheld first auction sale of T-bills. This marked the beginning of the market for government securities. In October 1993, the Central Bank of the Russian Federation, dramatically increases the discount rate (from 80 to 210%). This reduces the amount of credit resources, slows down inflation, but it also contributes to the emergence of inter-bank loan market (banks became unprofitable to borrow from the central bank, and they borrow from each other by less than the central bank, the percentage). 1994 was marked by the fall of the dollar (Black Tuesday), which led to a decline in the purchasing power of the ruble in 2 times (as the central bank bought up cheap dollars, and then again "inflated" their course). All this has led to speculative games in the foreign exchange market.

3. August 1994 is characterized by an increase in sales of shares of some large corporation's energy, fuel, gas, construction industries. During this period, there is a rapid growth of quotes for individual stocks. In dozens of times their face value increases. Overall, 1994 has the following proportions on the securities market: 32% - sale of T-bills, 29% - the shares of privatized enterprises, 12% - bank stocks, 5% - vouchers, about 20% - other securities.

4. 1995. The Russian government has set a target to reduce inflation sharply, so the issue was worked containment of the U.S. dollar. In early June 1995 for a period of up to 1 October introduced the trading band, which sets the boundary between the U.S. dollar and the ruble exchange rate. This led to the fact that the volume of transactions decreased with dollars and the exchange rate of the ruble against the dollar began to rise. In addition, the central bank increased the amount of the reserve funds of commercial banks, which are stored at the central bank. This extentsto put the banks in a very difficult position, and in this period the bankrupt Unicombank, Kredobank, in 1996 for the same reason - Tver-Universalbank. It can be summed up as follows (Appendix 1, Fig. 1-21)

1) Foreign Exchange Market in the Russian Federation was created, formed and operates in all segments, i.e., the currency market, the market for government securities, the securities market stock companies and banks, derivatives markets, the market for interbank loans.

2) The foreign exchange market is the most far-reaching, it has an inherent high liquidity, but the reliability of foreign exchange due to sharp increases in the dollar, until recently, was low. The introduction of the currency corridor defined the dollar in those borders, which established the Central Bank of the Russian Federation (now the Central Bank withdrew from the hard corridor and entered the sliding dollar. Now its borders - from 5550 rub. To 6100 rub.).

3) The securities market is developing successfully and is now the most attractive. Yield varies from 92 to 140% per annum. T-bills and have the liquidity and high reliability, and profitability. At the same time, it can be noted that the market price of T-bills subject to significant fluctuations depending on the political and economic situation. T-bills are issued on a fairly short period of time (1-3 months). In 1995 there was an attempt to release them for a year. This resulted in a yield of 450% per annum.

4) Market securities of the companies and banks are low turnover. Brokerages are guided by the stock trading through the stock stores, a trust - of the company. In exchange, listing includes only a small number of issuers. Shares of most public companies are not liquid and not listed on the market. The population of Russia does not take part in operations with securities. 50% of household savings are in the Savings Bank, 30% - on the hands (in the developed world in the hands of the population on average 2-3% savings). Derivatives markets (futures, warrants, options, notes) is still in development.

5) The market of interbank loans. Daily volume in the interbank market is 200-300 billion rubles. Because these operations are quite risky, there are methods to reduce the risk of credit operations. It is - a method of securitization, when in credit operations involving not one, but two or three or more banks. Interbank market is characterized by high liquidity, is very sensitive to the state of monetary sphere, public debt, inflation. Specific indicators characterize the state of the financial market. For example, the English stock market indicators include such Libor, Libid, etc. Libor isthe rate Seller deposits. Libidis the price the buyer. In July 1994, the Central Bank of the Russian Federation introduced by analogy Russian indicators: Mibor and Mibid. These rates are set nine largest Russian banks.

For further development of the Russian stock market is necessary to provide a clearer state control over private securities, reduce the tax burden of enterprises, establish a special exchange for securities and derivatives to expand this sphere, to create a centralized structure of intelligence that must provide services according to the calculations of stock indices, according to calculations brokerage houses.

The Russia stock market is still very young; his appearance began in the nineties. This is a constantly evolving market, which brings high returns, but the risk in the stock market is very high. In recent years, the foreign exchange market has a lot of positive changes: the market liquidity has improved, strengthened the legal framework

Thanks to these positive changes, the stock market in Russia reached a new level that equates us in an environment of currency exchange to the most developed him.

Transactions in the foreign exchange market are the participation:

The organizers of the trade are the stock exchanges.

1. Brokers are financial intermediaries between the exchanges and investors. Investors are usually banks or investment companies.

2. Depositaries, which is due to securities accounting and recording of property rights.

3. Settlement bank.

The stock market has its own rules: physical and legal persons, who are not professionals in the stock market, have the right to enter into transactions through brokers. Nevertheless, just in case, if the brokerage company is accredited and is licensed for this activity.

Buying securities, the client sends its affairs broker. The securities of each customer are stored and listed on the deposit account - each client has his own. As soon as the transfer of securities to another owner, the savings account have the appropriate mark.

At the time of trading, the Exchange assumes most of the risk this is done in order to protect market participants from failures. Here is one example: before you put up for sale securities, exchange offers participants put them in storage in the depository. In this case, the depositary is an intermediary between the buyer and the seller. This gives assurance that the securities are available and they are authentic.

The stock market in Russia, on the stock exchange, there is such a thing as a clearing. He created in order to control the high turnover during transactions. The task of clearing - ensure that transactions are properly treated and addressed.

Clearing is divided on several grounds:

Continuous clearing - all transactions and monitoring is carried out in real time, that is, each of the transaction, immediately sent to the buyer. This kind of clearing is used only when there is powerful software and not large quantities.

Periodically clearing - there is a certain frequency - every hour, day or week. For example, within an hour accumulate data on all completed transactions, and then they are processed all at once. This type of clearing is very beneficial, but too much takes time.

Regulation of the securities market allows you to trade in the stock market safer. It's no secret that stock trading is far more dangerous than the currency trading. Strictly speaking, therefore Forex and enjoys a wide popularity - to lose the capital there is a bit more complicated. On the other hand, the stock market in the event of winning promises a far greater amount. But that's not all people choose to risk, as the saying goes: "Better pie in the hand is worth a bird in the sky." However, stock markets are trying to adjust their system to make it easier for casual players and reduce the risk of loss of capital. However, the changes are still not too noticeable.

The risk of losing your capital is always there, no matter what kind of trade busy people. Any electronic exchange is always in development, primarily because the world economy is developing. For example, if a country has undergone a political crisis, the country's currency falls relative to other monetary units, and the value of the shares of the campaigns of the state decreases. Securities market regulation affects just on the position of a campaign in a kind of ranking. Agree, the investor must be sure that the company in which he is going to invest money, do not go bankrupt, and its profits will only increase. Only then the player will receive a long-awaited return. By the way, the income in this case is welcome. Investors have a long wait for the campaign, bought them in times of crisis, overcame a difficult situation, and its shares have increased, so that they can be profitably sold. And make such long-term predictions are pretty difficult. Another thing Currency Exchange - read in the news about a particular economic event that drew parallels with the rate-adjusted trade. The situation with the economy returned to normal, hence the course took its usual position.

In addition, the stock market is rich crooks. It does not say, but such divorces occur quite often. We will not give examples of fraudulent schemes; such information can be found at either site. Regulation of the securities market helps to get rid of so many swindles. First, set a high threshold for the start of trading eliminates investors. Agree, not every crook decide to initially pay quite a large sum. Of course, experienced scammers and find other loopholes, but the market is improving daily. Incidentally, this is why an investor should constantly evolve. He should study the changes to match the position of the currency exchange. So training should never be neglected.

Perhaps the most difficult thing in the stock market - it is right to analyze the campaign. An investor should understand perfectly in the activities of the campaign itself, must know perfectly well the accounting department to assess the state of the campaign. But the difficulty is as follows. Since the regulation of the securities market is not perfect, some information may be sheltered from the investor. "Error" has already become clear after the purchase; the investor will realize that instead of profitable campaign has gained a firm on the verge of bankruptcy. Rather unpleasant feeling, but such a situation occurs frequently. That is why people do not rush to join in the number of stock market investors, but prefer to exchange analog.

In fact, the Russian stock market - is trading in shares and other securities. Recently, the completely integrated system was largely transformed, which increased the protective mechanisms of investors participating in the auction, has improved the legal framework and so on. Thus, Russia has gained recognition in the global market, its rating increases, and hence the growing rating of all banks and other municipal enterprises. This increases the economy of the country, which, in turn, has an impact on the world economy as a whole. Credit agencies from all over the world celebrate this growth, saying that Russia can independently perform all of its obligations to its citizens and its neighbors. Since 2003, international agencies continually point out how much Russia has grown economically. Country regularly assigned investment grade ratings. This means that the Russian securities have a great potential for further development in the global market.

The stock market heads the Russian stock exchanges, brokers involved in the bidding, depositories and clearing banks. People who are not professionals trading can make transactions through brokers. So trading in securities may engage each. The depositary notes of who and what securities purchased or sold. That is the whole process is completely controlled by the special services. In case of a successful transaction the investor can quickly get a huge profit, which is one of the main reasons why people come to this kind of trading.

However, the Russian stock market has significant drawbacks. Therefore, to participate in the deal, the player will have to spend a huge amount. He must have a huge initial capital, which is not at all. In addition, the risk of capital loss is much greater. Let us say a player made a deal and bought shares of a campaign. For short term, action became bankrupt, and the player loses all his money, which he invested in the company. Moreover,it gets them is not possible, revenge will not work. The stock market is too complex for the untrained, ordinary people, learning that takes place every investor before work is too long and costly. Therefore, most willing to trade in the foreign exchange market are selected.

In addition, the Russian stock market and currency exchange provide the opportunity to participate tenders anyone. Here are just a Forex does not require such investments, and the risk of capital loss is much less. Even in the case of loss, a trader at any time, take advantage of lending or brokerage services. Money it takes a lot less. In addition, the methods of analysis of the currency market is much easier, that is, the player does not have to go through such a long period of training, though quite unprepared to go public still can't come. Its business strategy is still needed.

The Forex market has become popular in a very short period. Not every system can so quickly unwind. The secret lies in the exchange are that it really works and proves it every day with fresh payments. There are plus, of course, a good advertisement. However, no advertising would not make the game popular in the foreign exchange market if it did not win, did not earn, do not become regular Bill Gates.

A decade ago, the Internet in Russia was familiar counting the number of people. Today the daily services of the World Wide Web are already millions of Russians. And this number will only increase. This is a great achievement of humankind could not long be kept away from the stock market.

Online Trading is the mechanism of the transactions over the Internet.

Internet quickly took their positions, expanded the possibilities of investors. Now, thanks to the Internet can be made online to watch the changes in securities prices. You can own, almost instantly, to buy or sell shares of Gazprom, SPE«RussiaUES», «Surgut» and many, many others. With this you can be anywhere in the world, as long as at hand was a computer connected to the Internet. Through the Internet Investor (any natural or legal person who has entered into an agreement with a broker) is associated with a broker who, in turn, is connected to the exchange. Thus, the investor is in transit through a broker receives information directly from the stock exchange on current prices, the transaction, the orders for purchase and sale. In deciding on the transaction, the investor sends a request to the agent who immediately falls into exchange system. All this happens in a split second, almost instantly.

Internet trading has made a real revolution in the stock market. The most important thing is that online trading is incredibly increased the speed of processing trade orders, and will eliminate the need for direct personal contact with the broker. Brokerage costs are much reduced, and therefore, reduced customer costs. Due to this the stock market investors could come from small amounts of cash. Now everyone can invest only the amount of money that it is ready to operate.

Any internet trading system includes several key functions are:

• self-nomination applications for exchange;

• automatic checking of applications for compliance with limits;

• verification of the portfolio at any given time;

• ensuring the protection of information;

• information about trading in real time;

• limit management and control applications from broker;

• interaction with the accounting systems of the broker (back office risk management system).

For those investors who, for various reasons, prefer to delay the carrying out transactions over the Internet, Internet trading system can provide the extended information. In this case, an investor in real time monitors the health of their portfolio, and application to the stock exchange exhibits, as before, on the phone.

There are two types of trading systems to private investors. First, the trade is executed through a trading system implemented as a web-browser. You go to the website of the broker, enter your username, password, andfull speed ahead. Main convenience of such trading systems is that you are not tied to a particular computer. For these purposes fit almost any computer connected to the Internet, because it does not require any additional software. Such systems are usually designed brokers themselves. Virtually any more or less large broker has its own trading system of this type.

Second, you must have the special program. Such trading system more functional, faster and require less bandwidth. The best known QUIK, Netinvestor, TRANSAQ. It is worth to say that both types of trading systems are able to understand even a child.

Even now, after the growth of capitalization of the Russian stock market, which we see from the time they reach the bottom at the end of 2008, the market is still heavily undervalued. Since the end of 2012 the coefficient P \ E for the Russian stock market amounted to only 5.3. This is one of the lowest in comparison with other countries (13 in the U.S. and Western Europe, 9 for emerging economies), which indicates a very low cost of Russian companies and the high growth potential of the stock market.

The level of monetization of the Russian economy (M2/GDP) remains extremely low. In 2007, the figure was 40% at the end of 2008 only 32.5%, and up to the monetization of the economy in 2012 was 43.9%. At the same time, the value of this parameter in the advanced economies is in the range of 80-100%, and the growing economies of China - about 160%. In fact, in these circumstances, the Russian economy is barely enough money to maintain current operations, not to mention a fair valuation of assets and investments in fixed assets.

Fig. 2.1 - The main macroeconomic indicators of Russiahttp://www.gks.ru/. Federal State Statistics Service

According to their ongoing surveys of international investors, the Russian stock market is still perceived by investors as one of the most promising markets in the world. This gives us hope that after the normalization of the economic situation in the world, the main flow of foreign investment will go mainly to the Russian market. It should be added also the fact that Russia has become a WTO member. For the domestic stock market may be extremely positive signal because the statements of foreign investors for them to Russia's WTO accession may provide some trigger for the investment of capital in the Russian stock market (as happened in 2005 after Russia's investment rating assigned by international rating agencies). In part, this view is supported by the actions of foreign institutional investors, who since the beginning of 2013 to reduce the share of their portfolios in favor of Turkey, Russia, which is reflected in the dynamics of the stock market.

Fig. 2.1 - Foreign investment, mln. USAhttp://www.gks.ru/. Federal State Statistics Service

In the coming years, the main drivers of growth of the Russian stock market will be: growth in corporate profits (up by 16% in 2012), GDP (acceleration of growth from 3.4% in 2012 to 4.5% in 2015) and investment in the economy countries, the growth of household income and expenditure patterns change (reduction in the share of consumption).

2.2 Stock market in Italy: developmentand quality of institutions

Italy's stock market is one of the oldest markets in the world. The word exchangewas incorporated into all modern languages, comes from the Latin «bursa» leather bag for storage of money, and the first security-bill appeared in Italy in the XI century.Types of shares traded in the market, and rights to sharesItalian company started as a joint stock company societа per azioni, may issue different classes of shares with the same par value. Most companies produce only ordinary shares azioneordinaria, owners have the right to vote at all meetings of shareholders on the principle of one share, one vote. It release of preferred shares azioneprivilegiata, which give their holders a preferential right to the allocation of proceeds from the sale of assets in the event of liquidation. It is voting rights holders of preferred shares are only at the extraordinary shareholders' meetings. (Figure 1-11, Appendix 2).

The Italian company's ordinary shares are included in the listing on the Stock Exchange shall have the right to issue savings shares azione di risparmio, which provide benefits to their owners and the owners of ordinary and preference shares for dividends and assets in liquidation. Savings Bonds are convertible into ordinary in accordance with the terms of conversion proposed by the company.

All shares of Italian companies are registered securities holders registers, which are issuing companies. In accordance with Italian law, all securities issuers with Italian 1 January 1999 issued in book-entry, dematerialized form.

Disclosure requirements. Consolidated Finance Act contains the basic rules of law relating to the disclosure of information about their investors acquisitions of shares of Italian companies. The law sets the minimum threshold of the share capital of 2%, at or above which the investor is obliged to notify the transaction market regulator Consob and the issuing company. This requirement applies to the capital of the Italian company, whose shares are listed on the stock exchange. The law gives the Bank of Italy and Consob authorized to establish additional threshold amount of the share capital requiring disclosure, the adoption of the order and timing of the disclosure and monitoring of the shareholders of the law.

In the framework of its powers Consob approved by resolution number 11971 on May 14, 1999 Rules for issuers of action, recent changes in which are recorded in August 2009 According to the normative document persons acquiring an equity interest in the Italian company, whose shares are listed on the stock exchange are required to notify Consob and the company issuing the following conditions: at or above the value of the acquired shares, equal to 2% of the share capital of the company, at or above the value of the acquired shares, five times the 5%, 10%, etc. to 50%, and equal 66.6%, 75%, 90% and 95% of the share capital of the company, while the share in the authorized capital of the company below these thresholds.

Notification of the acquisition of shares in the authorized capital of the company shall be sent to Consob within five trading days after the trade date the form prescribed by the above regulations.

If the company whose shares are listed on the stock exchange, acquires 10% or more of the share capital of another company whose shares are not included in the stock exchange listing, the company-shareholder is obliged to disclose information about the deal by giving notice to Consob and the appropriate company.

Disclosure requirements on the acquisition of shares in the capital of Italian companies are treated as investors resident in Italy, as well as foreign investors.

There are stock exchanges and procedure for admission to trading.

The main role in the organization of trade in the shares owned by Italian Italian stock exchange BorsaItaliana. In 2008, the Exchange has celebrated its 200th anniversary. Founded in 1808 in Milan, the original name of Borsa di Commercio di Milano, she gradually became more and more important in the economic and financial life of the country. Trading in shares on the BorsaItaliana is a middle of the XIX century, were the first to shares issued by the railway company SocietаFerroviariadel Lombardo Veneto.

Since 70-ies of the XX century with the strengthening of the positions of Milan as the financial capital of the state exchange market becomes more centralized. Forming in 1991, the single-organizing center of the Exchange Council Consiglio di Borsa contributed to an eventual unification of exchange trade at the national level, and marked the beginning of the privatization of the Italian stock exchange, which until then was in public ownership. Corporatization of BorsaItalianawas completed in 1997 with the creation of joint-stock company BorsaItalianaSpA, is being implemented by the Office Exchange. BorsaItaliana has become the core of the exchange group, composed of the following years included the central depository Monte Titoli, the central counterparty CC & G, the organizer of trade debt MTS and other companies in the financial sector, serving securities transactions. In 2007

BorsaItaliana has become part of the London Stock Exchange Group, the latter is owned 99.96% stake in the Italian Stock Exchange. For the admission of shares to trading on BorsaItaliana issuing company must meet the following basic requirements: the capitalization of the company must be at least 40 million euros, one class of shares representing at least 25% of the capital of the Issuer, shall be distributed among the investors, and the company must submit reports for the preceding three years from the auditor's report.

The stock market, served by the Italian stock exchange, called MTA-MercatoTelematicoAzionario.Until the end of June 2010 MTA was divided into the following segments: Blue Chip, which traded shares of the largest issuers with a market capitalization in excess of € 1 billion; STAR, designed for trading in shares of companies with an average market capitalization up to 1 billion euros, with high rates of development and meeting a set of additional criteria for listing; Standard, focusing on companies with a market capitalization of 40 million to 1 billion euros, not in the segment STAR.

Currently, in order to more efficient organization of the market shares of Blue Chip segment and Standard abolished, trade shares of large issuers in the market is MTA. Companies with medium and small capitalization to € 1 billion are in the segment of STAR.

At the end of June 2011 listing on the MTA has 270 companies, including 72 of the segment STAR, the total capitalization of about 390 billion euros, capitalization STAR -15 billion euros.

In addition to the MTA, relating to regulated markets, trade in shares of small-and medium-capitalization companies that have, however, significant potential is in the segment of AIM-Alternative Investment Market Italia, which is an analogue of the AIM on the London Stock Exchange. This market is not the exchange market in the true sense, as not subject to appropriate regulation. The rules of operation of AIM Italia segment provides for the appointment of a specialized consultant-Nominated Adviser whose duty is to support the company in entering the market and the transactions in the AIM Italia.

Main instruments of the stock market

Italy is a highly developed industrial-agrarian country with an eleventh in the world by GDP, equal to 1.76 trillion dollars USA. Feature of the economy of the country is the territorial unevenness of industrial development: the more developed north and the less developed south.

The largest Italian companies whose shares are blue chip stock market, represented by the leading sectors of the Italian economy: engineering, production and refining of oil and gas, food and light industry, banking. The favorable natural and climatic conditions allow Italy to occupy a leading position in Europe and in the world for growing crops, cereals, citrus, tomatoes, grapes, olives, etc. One of the most important sectors of the Italian economy, which accounts for about 12% of GDP, is the sphere of tourism services.

A leading Italian company whose shares have the greatest weight in the stock market is one of the world's largest oil companies EniSpAEnteNazionaleIdrocarburi, founded in 1953 by the Italian government. Eni has exploration and production operations in 70 countries on all continents; the company is a major partner of Russia's Gazprom in the implementation of the project pipeline «Blue Stream». Network of petrol stations to Eni operates under the commercial brand Agip, familiar throughout the world on a logo with a picture of a fire-breathing six-legged dog, symbolizing the energy and power.

A large enough share of the total stock market capitalization of Italy occupy the shares of financial institutions, among which the bank UniCreditSpA, belonging to one of the largest banking groups in the world UniCredit Group. UniCredit Bank traces its history back to 1473, when Bologna was based bank RoloBanca. Currently, UniCredit has an extensive network of branches and subsidiaries in 50 countries around the world, including in Russia, which serves more than 40 million customers.

Among the world-famous Italian companies whose shares have considerable weight in the stock market indices, it should be noted automotive group Fiat SpA and the Corporation for the production of milk and other food products ParmalatSpA

In 2008, in connection with the accession of the Italian Stock Exchange to the London Stock Exchange London Exchange Group index system of the stock market in Italy has evolved, becoming a part of the family of indices FTSE-Financial Times Stock Exchange Index, but retaining the overall structure and the methodology for calculating the major indexes BorsaItaliana.

The most famous stock market index Italy-FTSE MIB Index earlier S & P MIB consists of the 40 most liquid stocks of the largest companies by capitalization of Italy "blue chips", the total market value of about 80% of the total stock market capitalization of Italy. The base level of the index FTSE MIB Index, equal to 10,000 points, was adopted December 31, 1997

For companies with an average market capitalization of the index is used FTSE Italia Mid Cap Index earlier Midex, including shares of 60 Italian companies with the total market capitalization of approximately 12% of the total stock market capitalization of Italy. Stocks of small companies with a combined market capitalization of about 4% of the entire stock market represented in the index FTSE Italia Small Cap Index.

In addition to the above, the indices of FTSE, calculated for the Italian market include 66 sectorial indices FTSE Italia Sector Indices, an index for the stocks included in the listing exchange segment STAR-FTSE Italia STAR Index, and other indices.

The most representative stock index in Italy - FTSE Italia All-Share Index earlier Mibtel includes stocks of about 250 companies included in the index FTSE MIB, FTSE Italia Mid Cap, FTSE Italia Small Cap and FTSE Italia All-Share Sector Indices. The total market capitalization of the companies whose shares are included in the index is about 95% of the total capitalization of the Italian stock market. Given this figure, as well as inclusion in the stocks of companies from all major sectors of the economy of Italy, FTSE Italia All-Share Index is recognized as a national indicator of the market and the most significant landmark for a wide range of investors with different investment objectives.

Organization of trading shares. In 1994, on the Italian stock exchange has been carried out the final transition from voice contrattazionegridata trading to electronic trading. After joining the London Stock Exchange Group equity markets were unified trading platform TradElect.

BorsaItaliana is an auction market. As a regulated stock market MTA, and in the trading system of AIM Italia trades are conducted in multiple-launch the auction at the opening and closing of the trading session from 8:00 to 9:00 and from 17:25 to 17: 30 and in continuous auction for trading day from 9:00 to 17:25. Vnesessionnaya stock trading is carried out in a specialized segment of the TAH Trading After-Hours.

On the Italian Stock Exchange provides the functions of specialists (OperatoriSpecialisti), which, if necessary to maintain the liquidity of the market are required to quote continuouslya certain action, taking into account the limits set by the exchange.

Clearing and settlement system

Central counterparty for transactions with all shares traded on BorsaItaliana, acts Clearing Company of Italy Cassa di Compensazione e Garanzia, CC & G, founded March 31, 1992 and included as a central depository of Italy Monte TitoliSpA, in exchange group London Stock Exchange Group . Clearing Company carries charges between bidders, acting on their behalf, thus ensuring the carrying out calculations and eliminating the risk of default by the participants.

Since January 2004 the transaction on shares of issuers of Italy held the central depository Monte Titoli in two combined electronic settlement systems:

Express II primary clearing and settlement platform, uniting the gross settlement system in real-time Real-Time Gross Settlement-RTGS with multilateral netting. This electronic payment system was put into operation the central depository of Italy in December 2003

When conducting operations in the form ofdelivery / receipt of securities versus payment may be the difference in the orders of counterparties to a value of EUR 25.

General Meeting of Shareholders

General Meeting of Shareholders of Italian companies held within four months after the fiscal year end December 31, in most cases, in April of the following year. The period of the meeting may be extended by up to six months after the end of the year, if provided for in the charter of the company. Message about the upcoming shareholders' meeting must be published 15 days before the scheduled date of the meeting in the Official Gazette «GazettaUfficialedellaRepubblicaItaliana» or any other national publication. The message should include the date, time and place of the meeting and the agenda.

In accordance with Italian law, a shareholder who wishes to participate in the meeting should send a custodian who has opened an account for shareholder consideration of the relevant shares, the application for the grant of license richiestacomunicazione to participate in the meeting. Within two working days of the date of the application the shareholder, if the charter of the issuing company does not specify a time custodian sends the required certificate issuer, which is in fact an extract on the securities account of the shareholder. Received from the custodian certificate issuer uses to calibrate the register of holders of shares and identification of shareholders, the meeting participants.

A shareholder may exercise their voting rights at the general meeting by personal presence at the meeting by appointing a trustee by the issuer or by sending completed ballots by mail.

In those rare cases where the investor owns shares in the form of certificates to be eligible to participate in the meeting must first convert their shares in certificated form, opening a securities account and transferred the certificates to one of the custodians, which will forward them to a central depository Monte Titoli.

Payment of dividends

Italian companies pay dividends annually, within a month after the annual general meeting of shareholders. The peak of payments is to the period from the end of March to the end of July.

About a month prior to the payment of dividends of issuers announce the forthcoming payment through the official website of the Italian Stock Exchange, the only company whose shares are included in the listing, a central depository Monte Titoli in Italy and by placing information in a special bulletin, published under the editorship of Consob, as well as in the local financial press, for example, Milano Finanza.

Since January 2002, the procedure for establishing the dates associated with the payment of dividends, if the issuing company chooses as the ex-dividend ex-date the date of the first working day of a week after the annual shareholders' meeting. Italian companies, whose shares are blue chip stock market, are obliged to appoint the ex-dividend date on the first working day following the third Friday of the month. Thus, in anticipation of dividend shares are traded through Friday with the right to receive dividends cum dividend, and on Monday, without the right to receive dividends ex dividend. Two days after the ex-dividend date is usually on Wednesday comes a record date of the rights record date, and the next day, ie on Thursday, followed by the date of payment date.

There are issuing companies informed about upcoming dividend central depository Monte Titoli and appoint a paying agent, a local bank. Monte Titoli will in turn notify the dividends by custodian and paying agent informs payment information custodians and the amount of dividends payable to each custodian depending on the number of their shares in the accounts at the Central Depository as of the end of the day fixing date right. At the appointed date of payment of dividend paying agent debits open his account of the issuing company and the custodian of dividend payment in accordance with the instructions received from the central depository. After receiving the funds, custodians list them on account of their clients, the owners of the shares. In order to keep up to date register of holders of shares of Consolidated Finance Act provides that the intermediary custodian within three days after the payment of dividends by the issuer to send details of shareholders, who are the dividends, and the number of shares them hold.

Tax base

According to Italian law proceeds on shares issued by resident in Italy are taxed at source at the rate of 27%. In accordance with the convention is reducing the tax rate from 27% to 10%. If the owner of the securities was unable to make a timely payment of income to provide documents to obtain tax benefits, in the four years following the date of payment of dividends it is entitled to a refund of the excess tax withheld.

2.3 Interaction and prospects

In Russia selected a mixed model of the stock market, where both are present with equal rights and non-banks with the right to trade in securities, investment and non-banking institutions.

One of the most volumes is the market for government debt, including:

- long-term and medium-term bond issues placed among the population;

- short-term government bond issue of 1994;

- long-term 30-year bond issue of 1991;

- the domestic currency bond issue for businesses;

- treasury bills.

Private securities market include:

- issue of shares converted into joint stock companies of state enterprises;

- issue of shares and bonds of banks;

- issue of shares voucher investment funds;

- issue of shares of the newly established joint stock companies;

- bonds issued by banks and businesses.

Italy also is a highly industrial-agrarian country with an eleventh in the world by GDP, equal to 1.76 trillion. USD. Feature of the economy of the country is the territorial unevenness of industrial development: the more developed north and the less developed south.

The largest Italian companies whose shares are blue chip stock market, represented by the leading sectors of the Italian economy: engineering, production and refining of oil and gas, food and light industry, banking. The favorable natural and climatic conditions allow Italy to occupy a leading position in Europe and in the world for growing crops, cereals, citrus, tomatoes, grapes, olives, etc. One of the most important sectors of the Italian economy, which accounts for about 12% of GDP, is the sphere of tourism services .

The Russian stock market is characterized by the following:

- small volume and illiquidity;

- unformed in the macroeconomic sense (do not know the balance of power in the stock market, etc.);

- lack of development of material resources, technology, trade, regulatory and information infrastructure;

- fragmented system of state regulation;

- lack of long-term public policy formation of the securities market;

- high degree of market-related securities;

- significant extent (aggressive policy of non-viable institutions of companies);

- the lack of public access to the macro-and micro-economic information about the state of the stock market;

- investment crisis;

- lack of trained staff and large, have won the confidence of the public investment institutions;

- aggressive and intense competition in the absence of traditions of business ethics;

- a high proportion of black and speculative turnover;

- expansion of the government debt market and the demand of the state for the money, which reduces the productive investments in securities.

There are prospects for the securities market (stock market) for both Russia and Italy to eat, but for the development need to address the stock market, which will allow him to develop. What are the prospects for development can be identified at this stage.First is the emergence of new tools, i.e. new types of securities, which provide the investor and the issuer, provide different opportunities and allow you to attract more resources and somewhat different form. New infrastructure market means new information system, for example, clearing, and settlement and depository services to the stock market. Another perspective of the development of stock markets in Russia and Italy is securitization - is when the funds transferred from the standard form in the securities or the tendency to move some form of security to another form of securities that are more affordable and more used by investors.

Consequently, the prospects of the securities market do not mean that other markets, such as capital market, will not lead to their disappearance. Of course, as you might think, because On the one hand, the stock market takes a part of the capital, but on the other hand, and allows capital to move data through the mechanism of the purchase / sale of securities in other markets, which contributes to the development of these markets? That is, prospects for the development of this market, like other markets all the time and there will never run only if the markets themselves, including the stock market will disappear.

The third perspective of securities market development in Italy and Russia is its computerization, but not in the literal sense, because it has already occurred, and by increasing the speed of transactions, information, improve security of information, as well as improving the mechanisms of the transactions and the development of the types of securities.