THE IMPACT OF VIRTUALIZATION ON THE GLOBAL STOCK MARKET
Abstract
The article is devoted to topical issues of determining the impact of digitalization on the world stock market. This paper presents the main factors of influence of digitalization on the world stock market, including: speed and efficiency; reliability and safety; transaction costs and market competition. The capitalization of international stock markets, as well as the Top-10 of the world's stock exchanges with the largest capitalization over the past five years have been analyzed. Since the modern stock market is characterized by dynamism and is in constant motion, the trend of all analyzed indicators depends on global trends and on the speed of introduction of digital technologies into its activities. The analysis of market capitalization by the Top-100 of companies in the world, separately by regions and sectors during 2013-2023 is also carried out. The dynamics of indicators in 2023 tends to decrease, which is a negative phenomenon. The main features of virtualization as an element of digitalization of the world stock market are allocated. The stages of consolidation of world stock exchanges are presented and their importance is indicated, which is the next step in deepening virtualization in stock markets. Equally important is that the main advantages of alliances of exchanges are the increase in capitalization and trading volumes; increased competition between trading platforms; increase of work time; gaining competitive advantages by entering new markets; economies of scale; increasing market liquidity; increased competition from non-stock trading platforms; unification of market rules; growth of over-the-counter trading turnover; activation of global globalization processes. A number of current drivers of digitalization of stock markets are indicated. Certain trends of digitalization of the world stock market have been identified. The key directions of introduction of digital technologies in the world stock market are characterized. The main aspects of functioning of "stock exchanges of the future," namely: new alternative sources of income; customer experience of the future; advanced and automated controls a combination of machine and manual labor and a focus on new generation products. A number of advantages of using artificial intelligence in the stock market, in particular: identification of patterns; forecast and high-speed trading taking into account the mood of the market. It also considers the top 3 companies in 2022 that actively trade on the stock market using artificial intelligence.
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