Financing function
The financial market in the original sense is a market in the pure financing sense, which is symmetrical with the money market and the sum of long-term financing relations. Therefore, financial intermediation is its original function.
Configuration function
It means that the financial market plays a guiding role in resource allocation by guiding the flow of funds. The financial market has a strong evaluation, selection and supervision mechanism. As rational economic men, investors always have a clear profit-seeking motive, thus promoting the flow of funds to efficient sectors and showing the function of optimal allocation of resources.
Property right function
The property right function of financial market refers to its function of restraining the property right of market subject and acting as the intermediary of property right transaction. Property right function is a derivative function of capital market, which plays an important role in the process of enterprise property right reorganization by reforming enterprise management mechanism, providing financing for enterprises, transmitting property right transaction information and providing property right intermediary services.
Function:
Facilitate investment and financing.
Reasonably guide the direction and flow of funds, promote the concentration of funds and transfer them to efficient units.
Facilitate the flexible conversion of funds.
Realize risk diversification and reduce transaction costs.
It is conducive to enhancing the flexibility of macro-control.
It is conducive to strengthening economic ties between departments, regions and countries.