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Issuers and Corporate Governance

Issuers means economic entities issuing securities traded in the market.

By issuing shares, joint-stock companies form their capital and ensure further fund raising. Companies may also attract funds via the issuance of debt securities, i.e. bonds.

Through securities trading, savings can be transformed into investment and channelled into the most efficient companies. This fosters the development of economic agents and overall economic growth.

Legal relations between investors and issuers are regulated by both civil law and specific securities market legislation.

Corporate governance plays a key role in ensuring the balance of rights and interests of the issuer’s investors, owners, managers and other stakeholders. In addition to allowing shareholders and investors to exercise efficient control over the activities of the joint-stock company, it influences the company’s economic performance indicators, its cost estimated by investors and its ability to raise funds.

Important

Unofficial Translation. Final version published on the Official Journal of the Bank of Russia No. 40 (1518) - 18 April 2014
Department responsible for publication: Corporate Affairs Department
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Last updated on: 21.12.2020