The main aspect that defines the Costa Rican stock exchange is its self-regulated operational form. This has provided the Costa Rican stock market with solidity and significant financial stability that distinguishes it from the other stock markets.
In Costa Rica, the stock market is hybrid, as it is made up of private rights and powers of a public nature. Constituted under the archetype of state-entrepreneur who self-regulates its operation. The national stock exchange, legally framed under the personality of a corporation, is the entity that organizes the secondary securities markets of this Central American country.
The self-regulation of the stock market of the said Caribbean country is a way of functioning that is sponsored by the Costa Rican State, who developed a law that regulates the securities markets and the individuals or legal entities that intervene in them, either directly or indirectly. indirectly, and the contracts, negotiations or transactions that they carry out.
The issue of self-regulated functioning that characterizes the Costa Rican stock market is of vital interest to individuals and legal entities that intend to act as a broker within the Caribbean nation. Because of the knowledge of this operative form will depend on its future success within the National Stock Exchange of this Central American country.
A long time ago, the Costa Rican securities market did not have any type of conditioning or regulation on the part of the legislative body of that country. Simply, this type of secondary market was developed as a kind of stock market that assumed the legal basis of the Caribbean nation’s Commercial Code. This led the stock market to lead a self-regulated way of life, which emulated the Anglo-Saxon model of the practicing entities in that way.
The idea of self-regulation is not an aspect that diminishes the effectiveness and efficiency of the Costa Rican stock market, but rather concretely defines its organization and the guidelines of its operation to guarantee the stability of the stock market environment of this country. Providing, legally, organized entities responsible for these secondary markets the power to authorize, control and regulate those who operate within these markets. In this way, they protect the operators of the Costa Rican stock market from illicit securities.
This characteristic is favorable for those who intend to live in the Costa Rican stock market. Because it has no other purpose than to provide users with their secure transactions within the secondary markets of that Caribbean country.
The purpose of the idea of “facilitating” rests on the general objective of the Costa Rican stock exchange, which is oriented towards the provision of an administrative, computer and scientific platform that dynamizes the transactions that have been assumed to be quoted, including the supervision that these are carried out under the regulations in force according to market practices.
The aforementioned is possible, thanks to the fact that the law establishes that the stock exchange positions are represented by legal persons, previously authorized by the stock exchanges so that they are part of them, and in turn have the opportunity to carry out purchasing activities. and sale of securities within the stock market. All this is summarized in the principle established for these entities, represented in the actions of authorizing, auditing and regulating.
This configuration of the Costa Rican stock market proposes a secure land for work in this medium. Generally, many users of secondary markets assume that the rules limit the scope of financial transactions, however, the case of Costa Rica is contrary to this assertion, because the legislative interest was to promote in a defined, organized and safe, the investment activities of stockbrokers.
The Costa Rican stock market is a reliable indicator for any entrepreneur inside and outside the country because its hybrid operation has allowed reflecting a solid and stable economy, and above all, defined and organized, auguring a prosperous and broadly developed future. The evidence of this is that the Costa Rican Stock Exchange was not affected by the fall of stock markets around the world in 2015, where the US They were the first affected.
This shielding before these effects, has been possible so far thanks to the powers granted by the Securities Market Regulatory Law to the stockbrokers, it is worth highlighting the main ones, based on authorizing and supervising the operation of stockbrokers and stockbrokers, the establishment of means and procedures that dynamize commercial transactions, specify and dictate regulations that favor the organized market and suspend those negotiations that have disordered characteristics.
Every Costa Rican or foreign citizen who has the idea of undertaking an economic project within the stock exchanges of the country, the first thing that must be acquired is the law that regulates these secondary markets, in order to have prior knowledge, which allows interact with the stock market entities that will facilitate, authorize and supervise financial activities.
Well, to be successful in the transactional environment of secondary markets, you must consider that in the Costa Rican stock market, soundness and financial stability are based on order and discipline.
