INSTRUMENTS FOR THE ACCUMULATION OF PRIVATE SAVINGS OF INDIVIDUALS AS AN OBJECT OF LEGAL AND STATE REGULATION
Authors:   Ivano-Frankivsk branch of Open International University of Human Development «Ukraine», Vazhynskyi V.M. 
Published: April 2024

In Ukraine, great attention is paid to investing in the economy, business, grant projects, etc. However, little attention is paid to the issues of investing from the accumulation of private savings of individuals (households), which is why the powerful investment resource of citizens’ savings is not used enough. The purpose of the article is to study the instruments for the accumulation of private savings in Ukraine, to identify the main problems that are currently in the legal regulation of this institution, and to formulate proposals for their elimination. The author defines the accumulation of private savings of citizens as a type of investment activity (indirect investment of long-term financial investments), which consists in investing (transferring) money savings to an intermediary in order to preserve their value and increase (receiving income (profit) from their investment) to ensure in the future a decent standard of living. The study found that the accumulation of private savings has a number of differences from other ways of carrying out investment activities, which allow it to be singled out as a special object of state regulation. Yes, 1) the accumulation of private savings is a long-term act that usually cannot be terminated unilaterally (except in extraordinary circumstances); 2) private savings are made only in cash; 3) private savings are not transformed into another object when, during other types of investment, the invested funds are «transformed» into property rights, real estate, goods, etc.; 4) the purpose of private savings is the accumulation of capital, and not the acquisition of new property or other rights, that is, private savings are not transformed into other forms of capital; 5) private savings are not an object of free civil turnover (they are not alienated freely on the basis of civil law contracts) unlike other objects of investment (real estate, property rights, securities, etc.); 6) the funds are not invested by the person directly, but are transferred as a contribution (contribution) to a financial intermediary. Therefore, we consider the term depositor rather than investor to be more appropriate to characterize a person who invests with the aim of accumulating savings; 7) the depositor cannot influence the further investment policy of the intermediary regarding the funds transferred to him. The study found that the accumulation of private savings has a low difference from other methods of investment activity, which allows it to be singled out as a special object of state regulation. The author has proven that the following private savings accumulation tools are currently most widely used in Ukraine: 1) making deposits in Ukrainian banks; 2) long-term accumulative life insurance; 3) non-state pension funds. The article presents the problems of state regulation and proposed ways to solve them, which allow activating the population’s use of savings accumulation tools.