The market for the financial system is an important element. In Russia, such a system began to take shape only in the late eighties, when the government realized the need to restore the market mechanism. As practice has shown, one of the significant means for market recovery is commercial securities, which determine the ownership right of its owner to capital.
At the same time, the significance of banks on the securities market is unconditional and understandable. Commercial banks in the securities market act as issuers of bonds, stocks, bills and so on, as investors buying securities with their own money, and also as professional participants in the RZB engaged in dealer, brokerage, trust and depository activities.
In Russia, bank bonds are not in great demand, although they have a lot of weight in the global financial market . We will try to consider in more detail what specific activities are involved in commercial banks in the securities market.
In different countries, commercial banks have a different place on the securities market, however, common points in the interaction of banks with the securities market can be identified.
In world practice, the active penetration of banks on the securities market began in the fifties. Penetration was both direct and indirect form. In countries where the activities of banks in this market are restricted by law, for example, in the USA, Canada and Japan, they found indirect ways to participate in intermediary and investment activities through cooperation with brokers, trust operations, lending, and so on.
Commercial banks in the German securities market feel best of all, where they have the opportunity to legally carry out various operations with securities. That is, banks act as issuers, mainly issuing their bonds, major investors and, finally, intermediaries.
In all corners of the world, bank revenues from operations on the securities market are increasingly important in the formation of total profit.
The increased participation of banks in the work of the RZB has led to the emergence of large banking groups, headed by commercial banks, focusing around brokerage firms, consulting firms, investment funds, trust companies and so on.
Commercial banks create a wide network of subsidiaries and branches, thereby entering the international market. The investment activities of such affiliates are becoming ever larger. Especially this affects banks in countries where they impose a restriction on banking operations on the securities market.
Banks in the securities market have discovered a new form of activity - the provision of advisory services on topics related to investing in assets. This type of service basically has an internal information system of banks, which makes it possible to carry out an in-depth analysis of the ratio of risks and income from specific assets. Therefore, bank customers receive certain algorithms for the purchase of assets and portfolio formation, taking into account the expected dynamics of profitability.
Of course, in modern conditions, commercial banks in the securities market are issuers of various securities and have the right to conduct intermediary operations, receiving a commission.
The most regulated and developed in terms of methodological features is the issue of securities by banks. Intermediary and investment activities are not so regulated. But it should be said that banks are active in both areas.