Development processes and problems of Lithuanian securities market
ENLithuania's securities market is quite young, rising part of finance market. It originated and developed together with fast and discrepant economic system transformation process. Securities process organising and control experience of other countries was used to create National securities exchange. Privatisation should be considered as a main reason of securities origin. Shares in securities market started circulate as a consequence of privatisation. Government securities were started to emit some time later. National securities exchange decides securities trade and other questions. National securities exchange corresponds to international standards. The driving forces in security exchange are finance stockbrokers enterprises. They are main securities market participants and organisers. They have monopoly for mediation redistributing capital that is embodied in securities. The number of financial stockbroker's enterprises during last five-year decreased almost twice in Lithuania.Instead of that quality of their work and turnover increased significantly. Indexes characterise securities market situation and changes. There are two indexes used in Lithuania. Index LITIN is separated for evaluation of enterprises share market changes. Index LITIN - WP is separated for analyse of government securities market. Index LITIN was successfully used together with Estonia and Latvia indexes TALSE and DJRSE counting general index Baltic - 30 (B30). Such common index helps national and foreign investors to form an opinion about securities market development. Securities market and investment funds are connected closely. At this moment activity of investment funds is not active because of having no favour opinion of society and no benevolence legal regulation. The funds formed from securities of enterprises that accepted sustainable development would have great perspectives. At the moment Lithuania's securities market is considered to be shallow and not attractive to investors. There are few participants in security market and many of securities are not liquid enough. Too strict regulation of Securities Supervision Commission makes negative influence. Securities have no traditions in Lithuania's social life, as it is a new occurrence. On other hand securities market can't be distinctive with big demand, as life quality standard is quite low.
