№ 2020/4
International economicsNAMAZOV Vugar F. 1
1Azerbaijan State Economic University (UNEC), Finance and Financial Institutions department
STRUCTURED FINANCIAL PRODUCTS TRADING AND ITS IMPLEMENTATION PERSPECTIVES IN EMERGING ECONOMIES
ABSTRACT ▼
The main objective of the research is to examine key aspects of the structured trade financing instruments and to analyze prerequisites for its existence. Hereby, the main focus is concentrated around developing economies. The research was carried out based on research methods such as comparative analysis, empirical approaches and logical generalization. Also, for the research purposes the current market situation, infrastructure, opinions and recommendations of international organizations were analyzed, and an optimal model and market conditions were generated. As a result of research an importance of the derivative financial instruments, organization of spot markets and warehouse receipt systems were investigated. The main factor limiting the study is a variable statistical need and mathematical modeling based on the economic specifications of each economy, as each market will need more country-oriented research and solution rather than general model that suits all. The practical significance of the research is to ensure synergies between financial and commodity markets and to develop a sustainable risk management tool, as well as to enhance access to capital by introducing an alternative financial instrument and market environment for local producers, including small and medium size entrepreneurs.
Keywords:financial markets, financial instruments, commodity trading, derivatives, warehouse receipt
JEL: G10, G11, G20, Q02, O16
| Article in Ukrainian (pp. 122 - 136) | Download | Downloads :379 |
REFERENCES ▼
1. Kolb, Robert W., Overdahl, James A. (2010). Financial Derivatives: Pricing and Risk Management. John Wiley & Sons, Inc.
doi.org/10.2139/ssrn.1568206
2. United Nations Conference on Trade and Development (UNCTAD) (1996, 2 July). Collateralized Commodity Financing, with special reference to the use of warehouse receipts. Report.
3. Neil, C. Schofield (2007). Commodity Derivatives. John Wiley & Sons Ltd.
4. Parker, Edmund and Perzanowski, Marcin (Consulting Editors). (2017, Jun.). Practical Derivatives: A Transactional Approach. Third Edition.
5. Grima, Simon, Thalassinos, Eleftherios I. (2020). Financial Derivatives: A Blessing or a Curse? Emerald Publishing Limited.
doi.org/10.1108/9781789732450
6. Wehling, Philine, Garthwaite, Bill (2015). Designing warehouse receipt legislation: Regulatory options and recent trends. FAO. Rome.
7. Höllinger, Frank, Rutten, Lamon, Kiriakov, Krassimir (2009, 6-7 June). The use of warehouse receipt finance in agriculture in transition countries. FAO, Working Paper presented at the World Grain Forum 2009. St. Petersburg, Russian Federation.
8. Kaminska, Izabella (2014, December 3). Markets Equities Citi vs Mercuria, a.k.a when commodity repos go wrong. Financial Times. URL:
ftalphaville.ft.com/2014/12/03/2058901/citi-vs-mercuria-a-k-a-when-commodity-repos-go-wrong/
9. Commodity exchanges in Europe and Central Asia, A means for management of price risk. Working Paper, prepared under the FAO (2011). World Bank Cooperative Programme.
10. A Case Study material of the Turkish Commodity Exchanges and Warehousing Model, Union of Chambers and Commodity Exchanges of Turkey (TOBB). URL:
www.tobb.org.tr/"obb.org.tr
11. Delwaide, Anne-Cécile and Coulson, Luke. A Case Study of the Chithumba Model. A non-traditional finance mechanism to improve access to farm inputs in Malawi. Delwaide International Development Research Centre. Ottawa, Canada. URL:
www.meda.org/innovate/innovate-resources/821-partner-publication-a-case-study-of-the-chithumba-model-a-non-traditional-finance-mechanism-to-improve-access-to-farm-inputs-in-malawi/file/
12. Kozár, L. (2004). The role of public warehousing and the commodity exchange in the Hungarian grain market (Ph.D. thesis).
University of Debrecen, Centre for Agricultural Sciences. Debrecen.
13. UNCTAD and the WFE (2015). The Role of Stock Exchanges in Fostering Economic Growth and Sustainable Development.
English
Русский 
Ukrainian 
