Читать книгу The Emerging Markets Handbook - Pran Tiku - Страница 85

Investors want to know how safe their investments are from malfeasance, fraud and scandal. Integrity of capital markets is paramount for emerging countries that want to raise public and private funds from outside investors, institutional investors and private equity investors, in order to fund development for infrastructure or perhaps to expand business.

The breadth and depth of capital markets is based on companies traded volume transacted. It is also important to know the supervision and trustworthiness of market information along with role of insiders and transparency. These issues are front and centre for investors who in exchange will risk their capital for perceived profits. In many countries state-owned enterprises and large domestic corporations seem to have entrenched interests making it difficult for competitors to create and manage companies and achieve profits.

Many emerging markets embarked on reforming their financial markets to allow for reasonable competition and proper disclosure and transparency. In many emerging markets there are independent supervisory authorities which oversee local exchanges where securities are traded.