Document Type


Publication details

Duong, PT 2016, 'Impacts of the 2008 global financial crisis on securities market supervision and implications for emerging markets: regulatory perspectives', PhD thesis, Southern Cross University, Lismore, NSW.

Copyright PT Duong 2016


The research investigates the impacts of the 2008 GFC on the securities market supervision (SMS) by identifying how securities regulators have responded to the GFC, adapted to the post-crisis market conditions, and developed a more responsive supervisory structure. Implications for emerging markets are drawn based on research finding analysis.

Quantitative survey research and qualitative techniques with focus group interviews and documentary research are employed in a mixed-methodology under the paradigm of critical realism to generalize the crisis impacts on SMS. Findings of the research include: (i) the GFC has generated impacts on all areas of SMS framework. Discussion is focused on a paradigm shift in SMS philosophy, re-construction of SMS architecture, emerging of risk-based approach, involvement of securities regulators in macro-prudential supervision, disputable roles of self-regulatory organizations (SROs) in market conduct oversight, and re-regulation of securities products, market intermediaries, market gatekeepers and SROs; (ii) post-crisis SMS responsiveness improvement was a result of post-crisis policy reform; and (iii) developed markets and emerging markets followed the same trend of post-crisis SMS reform but their ways diverged in some areas. Post-crisis SMS paradigm shift, prevalence of integration model, choices of developed and emerging markets between twin-peaks and integration, post-crisis diminishing roles of SROs, emergence of central banks, divergence of developed markets and emerging markets in policies are explained. Critical implications were developed for emerging markets, including: (i) comprehending the post-crisis SMS paradigm shift and developing a new SMS philosophy; (ii) dealing with the dilemma of SMS restructuring post-crisis; (iii) identifying the tasks and challenges of applying risk-based approach; and, (iv) establishing a culture of responsive SMS.

Contribution of this research is significant in terms of theory, body of knowledge, methodology and literature: (i) the research is the first that describes a comprehensive theoretical framework of SMS, defines the concept of SMS responsiveness and develops a complete SMS framework. A new SMS philosophy is recommended through analysis of research findings; (ii) the research helps to reveal the actual impacts of the 2008 GFC on SMS, develops regulatory implications and recommends components of a responsive SMS framework.; (iii) the research outcomes justifies employment of mixed methodologies; and (iv) the research also provides qualitative and quantitative data that supplements the literature of the GFC and securities supervision. Empirical evidence of the research is theoretically justified, meaningful, realistic, and discrete and is capable of verification in any further research contexts.