The Mexican stock market sector in light of the central functions of the financial system

Abstract

The essay presents a general review of the central functions of the financial system in contemporary economies, based on which the Mexican stock market sector is analyzed. It highlights how it plays a central role in concentrating savings for channeling them into projects with high financial requirements, as well as in reducing risk through the dispersion of savings in a wide variety of investments.
Finally, it is analyzed how, in contrast to those societies with developed financial systems, in the Mexican experience the share of assets intermediated in the stock market with respect to the total product is still minimal, exploring some of the reasons for this.