The Integrity of Emerging Financial Markets: Prioritising Factors through Analytical Hierarchy Process

Abstract

This study aims to identify and prioritise market integrity factors of emergingmarkets using the analytical hierarchy process (AHP). The results show that withinthese domains, enforcement system is the most critical factor to ensure market integrityin emerging markets. Protection of investors is the second most important factor withinthe domain of regulatory quality. This study contributes to the literature by presentinga model of integrity focused on ethical behaviour, regulatory quality, and enforcementsystem for emerging Asian markets, given that this region is most susceptible to marketfraud due to weak regulatory and enforcement systems