Evolution of the Concepts of “Financial Architecture” and “Financial Architectonics”

Abstract

The development of financial markets and institutions has led to the complexity of financial systems, which in turn requires new approaches to their analysis and management. In this context, the concepts of “financial architecture” and “financial architectonics” are of particular importance. However, despite the widespread use of these terms in the scientific literature, their interpretation is often ambiguous and controversial. The purpose of the study is to examine the evolution of the essence of the concepts of “financial architecture” and “financial architectonics”, to identify their differences and interrelationships, and to formulate own definitions of these terms, taking into account modern approaches and trends in financial science. To achieve this goal, a number of theoretical methods were used, namely: monographic - for reviewing scientific publications related to the concepts of “financial architecture” and “financial architectonics”; comparative analysis - to identify the differences and common features between the concepts of “financial architecture” and “financial architectonics”, which allowed to formulate the main characteristics and relationships between these definitions; the method of systematic approach - to study the relationships between the elements of the financial system and their structuring, which allowed to consider financial architecture and financial architectonics as integrated concepts with certain characteristics and interactions; the method of historical analysis - to study the evolution of the concepts of “financial architecture” and “financial architectonics”, which allowed to trace changes in the definitions and approaches to these terms in the context of the development of financial science; the method of conceptual modeling - based on the generalization of the data obtained and the analysis of current trends in the financial sector, the author proposed her own definitions of the concepts of “financial architecture” and “financial architectonics”. Financial architecture is defined as a structured model that covers the regulation and management of financial components at the macro-, meso-, and micro-levels of the economic system, and financial architectonics is defined as a comprehensive concept that reflects the structure and interrelationships between the elements of the financial system. The distinction between these concepts allows for a deeper understanding of various aspects of financial management. Financial architectonics offers a broader view of the financial system, taking into account complex interrelationships and dynamic processes, while financial architecture focuses on specific structural components and their regulation.