Legal Supervision Styles for Capital Market Health

Abstract

Undoubtedly, the new financial landscape, both domestically and internationally, has faced legal regulatory institutions and capital market players with challenges and opportunities. While stating these challenges and opportunities, this article comes to the conclusion that now in Iran, the time has come to change and renew old and tested tools and legal supervision needs new innovations. This research shows that the regulatory systems of securities and the stock market, especially the foreign exchange market, have continuous weaknesses in the country, and this issue has caused the loss of many investors in the stock market and lack of trust in the capital market. The famous capital of the world, including the United States and England, can be improved. The result of the research shows that a constant issue related to the inability of regulatory authorities to fulfill their mission in many countries is the lack of effective implementation of existing laws and regulations. A combination of factors, including lack of power and authority, lack of resources and skills, and lack of political will, have weakened authorities. The ability to effectively implement the regulations of a particular problem can result from the performance of other areas such as asset valuation and risk management practices. Internal control requirements for market participants and business systems.