Transformation of the Capital Market Stability Model under the Influence of the Financial Globalization

  •  Rustam R. Akhmetov    


In the course of economic globalization a process of formation of the united financial market has evolved.Integratedness of different sectors of financial market into its global form is largely stipulated by development offinancial innovations and of new financial instruments. Subjacent and timeless nature of modern financialtransactions leads to blurring of distinction between money and capital markets. The united market means agradual merge of financial risks and increase of volumes and unpredictability of aggregate risk in the result ofsynergetic effect contained in the nature of financial market as of a nonlinear dynamical system. Seriousinfluence on stability of financial market has a behavioral psychology of its participants that is connected withreflexivity specific to financial capital. Financial market can be described only by nonlinear stochastic equations.In this article we made the efforts to set the parameters for such a model. Basing on non-stability of a globalfinancial market and under influence of globalization factors it was concluded that it is necessary to check thehypotheses on formation of a financial cycle apart from general business cycle.

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