SlideShare a Scribd company logo
1 of 16
Download to read offline
Money, Banking,
and Business
Lecture 18
Financial Innovation
Chapter 10
Questions?
Financial Innovation
New ways to cooperate
Faster
Cheaper
spend, save, borrow
Financial Innovation
New Instruments
Information Technology
Evading Regulation
Financial Innovation
Volatility
Competition
Financial Innovation
Innovation moves
faster than
Regulation
Fungible
easy to convert one
thing to another
thing
Disintermediation
removing funds
from FIs
Make Deposits into
Non-deposits
Reserve requirement
Interest caps
Sweep
Eurodollar Market
Competition
Avoid Regulation
Derivatives
unbundle risks and
hedge
Forward and Futures
Forward
customized
Future
standardized
Options
pays for the option
markets
individual contracts
real estate
Options
The right but not
the obligation
Put - Sell
Call - Buy
Mbb18

More Related Content

What's hot

Rei ts can provide a steady stream of income(finished)
Rei ts can provide a steady stream of income(finished)Rei ts can provide a steady stream of income(finished)
Rei ts can provide a steady stream of income(finished)
RandyBett
 
Trisame Conference Presentation V4.1
Trisame Conference Presentation V4.1Trisame Conference Presentation V4.1
Trisame Conference Presentation V4.1
Joyam
 
LINK Global Holdings Financing 2013 PPT
LINK Global Holdings Financing 2013 PPTLINK Global Holdings Financing 2013 PPT
LINK Global Holdings Financing 2013 PPT
markdagel
 
Asian Financial Services Congress 2013 - The Challenge with Regulations
Asian Financial Services Congress 2013 - The Challenge with RegulationsAsian Financial Services Congress 2013 - The Challenge with Regulations
Asian Financial Services Congress 2013 - The Challenge with Regulations
Sam Gibbins 紀俊森
 
Fundamentals Of Business Legal Issues Grand Valley
Fundamentals Of Business Legal Issues Grand ValleyFundamentals Of Business Legal Issues Grand Valley
Fundamentals Of Business Legal Issues Grand Valley
guestb5a8b82
 

What's hot (20)

Rei ts can provide a steady stream of income(finished)
Rei ts can provide a steady stream of income(finished)Rei ts can provide a steady stream of income(finished)
Rei ts can provide a steady stream of income(finished)
 
The Market Sell Off - Our Take
The Market Sell Off - Our Take The Market Sell Off - Our Take
The Market Sell Off - Our Take
 
Global markets
Global markets Global markets
Global markets
 
Trisame Conference Presentation V4.1
Trisame Conference Presentation V4.1Trisame Conference Presentation V4.1
Trisame Conference Presentation V4.1
 
Diversifying Your Investments
Diversifying Your InvestmentsDiversifying Your Investments
Diversifying Your Investments
 
Business abc
Business abcBusiness abc
Business abc
 
How alternative investments can contribute to a worry-free retirement
How alternative investments can contribute to a worry-free retirementHow alternative investments can contribute to a worry-free retirement
How alternative investments can contribute to a worry-free retirement
 
20.2 regulatory credit exposures
20.2   regulatory credit exposures20.2   regulatory credit exposures
20.2 regulatory credit exposures
 
13.2 credit linked notes
13.2   credit linked notes13.2   credit linked notes
13.2 credit linked notes
 
VC investment criteria in game companies
VC investment criteria in game companiesVC investment criteria in game companies
VC investment criteria in game companies
 
Week 5 team paper initial public offering
Week 5 team paper initial public offeringWeek 5 team paper initial public offering
Week 5 team paper initial public offering
 
Intermediation
IntermediationIntermediation
Intermediation
 
IMN To REIT or Not to REIT 9-19
IMN To REIT or Not to REIT 9-19IMN To REIT or Not to REIT 9-19
IMN To REIT or Not to REIT 9-19
 
Defi smart contract development company
Defi smart contract development companyDefi smart contract development company
Defi smart contract development company
 
7 Tips to Help You Prepare for CECL
7 Tips to Help You Prepare for CECL7 Tips to Help You Prepare for CECL
7 Tips to Help You Prepare for CECL
 
LINK Global Holdings Financing 2013 PPT
LINK Global Holdings Financing 2013 PPTLINK Global Holdings Financing 2013 PPT
LINK Global Holdings Financing 2013 PPT
 
Asian Financial Services Congress 2013 - The Challenge with Regulations
Asian Financial Services Congress 2013 - The Challenge with RegulationsAsian Financial Services Congress 2013 - The Challenge with Regulations
Asian Financial Services Congress 2013 - The Challenge with Regulations
 
Fundamentals Of Business Legal Issues Grand Valley
Fundamentals Of Business Legal Issues Grand ValleyFundamentals Of Business Legal Issues Grand Valley
Fundamentals Of Business Legal Issues Grand Valley
 
Alternative and traditional investments: The real score
Alternative and traditional investments: The real scoreAlternative and traditional investments: The real score
Alternative and traditional investments: The real score
 
Chapter (3).
Chapter (3).Chapter (3).
Chapter (3).
 

Similar to Mbb18

Chapter 1 financial regulations in hong kong
Chapter 1   financial regulations in hong kongChapter 1   financial regulations in hong kong
Chapter 1 financial regulations in hong kong
Quan Risk
 
Financial intermediation
Financial intermediationFinancial intermediation
Financial intermediation
Kijuto JP
 
Start up finance & venture capital
Start up finance & venture capitalStart up finance & venture capital
Start up finance & venture capital
Serdar Temiz
 
Goldman Sachs’ Interview Tips New
Goldman Sachs’ Interview Tips NewGoldman Sachs’ Interview Tips New
Goldman Sachs’ Interview Tips New
Augustin Bangalore
 

Similar to Mbb18 (20)

Mbb25
Mbb25Mbb25
Mbb25
 
Chapter 1 financial regulations in hong kong
Chapter 1   financial regulations in hong kongChapter 1   financial regulations in hong kong
Chapter 1 financial regulations in hong kong
 
Mbb28
Mbb28Mbb28
Mbb28
 
CHAPTER 01 Introduction to Principles of Finance.ppt
CHAPTER 01 Introduction to Principles of Finance.pptCHAPTER 01 Introduction to Principles of Finance.ppt
CHAPTER 01 Introduction to Principles of Finance.ppt
 
Financial innovation
Financial innovationFinancial innovation
Financial innovation
 
Mbb15
Mbb15Mbb15
Mbb15
 
Financial intermediation
Financial intermediationFinancial intermediation
Financial intermediation
 
Kaiser Interest Rate Hedging And Swaps 2011
Kaiser   Interest Rate Hedging And Swaps   2011Kaiser   Interest Rate Hedging And Swaps   2011
Kaiser Interest Rate Hedging And Swaps 2011
 
Start up finance & venture capital
Start up finance & venture capitalStart up finance & venture capital
Start up finance & venture capital
 
ALTERNATIVE INVESTMENTS – INDIAN SCENARIO
ALTERNATIVE INVESTMENTS – INDIAN SCENARIOALTERNATIVE INVESTMENTS – INDIAN SCENARIO
ALTERNATIVE INVESTMENTS – INDIAN SCENARIO
 
Ten principles of fm
Ten principles of fmTen principles of fm
Ten principles of fm
 
The Intelligent Investor.pdf
The Intelligent Investor.pdfThe Intelligent Investor.pdf
The Intelligent Investor.pdf
 
SAFARIMAN
SAFARIMANSAFARIMAN
SAFARIMAN
 
Oxyzo: Revolutionizing SME Finance with Digital Platforms
Oxyzo: Revolutionizing SME Finance with Digital PlatformsOxyzo: Revolutionizing SME Finance with Digital Platforms
Oxyzo: Revolutionizing SME Finance with Digital Platforms
 
What Is DeFi? Guide to Decentralized Finance
What Is DeFi? Guide to Decentralized FinanceWhat Is DeFi? Guide to Decentralized Finance
What Is DeFi? Guide to Decentralized Finance
 
Clarke Global - Digital Securities Overview
Clarke Global - Digital Securities OverviewClarke Global - Digital Securities Overview
Clarke Global - Digital Securities Overview
 
Goldman Sachs Imterview Tips
Goldman Sachs Imterview TipsGoldman Sachs Imterview Tips
Goldman Sachs Imterview Tips
 
Goldman Sachs’ Interview Tips New
Goldman Sachs’ Interview Tips NewGoldman Sachs’ Interview Tips New
Goldman Sachs’ Interview Tips New
 
IE Business School
IE Business SchoolIE Business School
IE Business School
 
Funding Patent Litigations
Funding Patent LitigationsFunding Patent Litigations
Funding Patent Litigations
 

More from Gale Pooley

Economic History of the U.S. Lecture 16.pdf
Economic History of the U.S. Lecture 16.pdfEconomic History of the U.S. Lecture 16.pdf
Economic History of the U.S. Lecture 16.pdf
Gale Pooley
 
Economic History of the United States - Lecture 3
Economic History of the United States - Lecture 3Economic History of the United States - Lecture 3
Economic History of the United States - Lecture 3
Gale Pooley
 

More from Gale Pooley (20)

The Economic History of the U.S. Lecture 30.pdf
The Economic History of the U.S. Lecture 30.pdfThe Economic History of the U.S. Lecture 30.pdf
The Economic History of the U.S. Lecture 30.pdf
 
The Economic History of the U.S. Lecture 28.pdf
The Economic History of the U.S. Lecture 28.pdfThe Economic History of the U.S. Lecture 28.pdf
The Economic History of the U.S. Lecture 28.pdf
 
The Economic History of the U.S. Lecture 26.pdf
The Economic History of the U.S. Lecture 26.pdfThe Economic History of the U.S. Lecture 26.pdf
The Economic History of the U.S. Lecture 26.pdf
 
The Economic History of the U.S. Lecture 25.pdf
The Economic History of the U.S. Lecture 25.pdfThe Economic History of the U.S. Lecture 25.pdf
The Economic History of the U.S. Lecture 25.pdf
 
The Economic History of the U.S. Lecture 23.pdf
The Economic History of the U.S. Lecture 23.pdfThe Economic History of the U.S. Lecture 23.pdf
The Economic History of the U.S. Lecture 23.pdf
 
The Economic History of the U.S. Lecture 22.pdf
The Economic History of the U.S. Lecture 22.pdfThe Economic History of the U.S. Lecture 22.pdf
The Economic History of the U.S. Lecture 22.pdf
 
The Economic History of the U.S. Lecture 21.pdf
The Economic History of the U.S. Lecture 21.pdfThe Economic History of the U.S. Lecture 21.pdf
The Economic History of the U.S. Lecture 21.pdf
 
The Economic History of the U.S. Lecture 20.pdf
The Economic History of the U.S. Lecture 20.pdfThe Economic History of the U.S. Lecture 20.pdf
The Economic History of the U.S. Lecture 20.pdf
 
The Economic History of the U.S. Lecture 19.pdf
The Economic History of the U.S. Lecture 19.pdfThe Economic History of the U.S. Lecture 19.pdf
The Economic History of the U.S. Lecture 19.pdf
 
The Economic History of the U.S. Lecture 18.pdf
The Economic History of the U.S. Lecture 18.pdfThe Economic History of the U.S. Lecture 18.pdf
The Economic History of the U.S. Lecture 18.pdf
 
The Economic History of the U.S. Lecture 17.pdf
The Economic History of the U.S. Lecture 17.pdfThe Economic History of the U.S. Lecture 17.pdf
The Economic History of the U.S. Lecture 17.pdf
 
Economic History of the U.S. Lecture 16.pdf
Economic History of the U.S. Lecture 16.pdfEconomic History of the U.S. Lecture 16.pdf
Economic History of the U.S. Lecture 16.pdf
 
Units States Economic History Lecture 15
Units States Economic History Lecture 15Units States Economic History Lecture 15
Units States Economic History Lecture 15
 
Economic History of the United States - Lecture 9
Economic History of the United States - Lecture 9Economic History of the United States - Lecture 9
Economic History of the United States - Lecture 9
 
Econ 1740 Economic History of the U.S. Lecture 7
Econ 1740 Economic History of the U.S. Lecture 7Econ 1740 Economic History of the U.S. Lecture 7
Econ 1740 Economic History of the U.S. Lecture 7
 
Economic History of the United States - Lecture 4
Economic History of the United States - Lecture 4Economic History of the United States - Lecture 4
Economic History of the United States - Lecture 4
 
Economic History of the United States - Lecture 4
Economic History of the United States - Lecture 4Economic History of the United States - Lecture 4
Economic History of the United States - Lecture 4
 
Economic History of the United States - Lecture 2
Economic History of the United States - Lecture 2Economic History of the United States - Lecture 2
Economic History of the United States - Lecture 2
 
Economic History of the United States - Lecture 1
Economic History of the United States - Lecture 1Economic History of the United States - Lecture 1
Economic History of the United States - Lecture 1
 
Economic History of the United States - Lecture 3
Economic History of the United States - Lecture 3Economic History of the United States - Lecture 3
Economic History of the United States - Lecture 3
 

Recently uploaded

Obat Penggugur Kandungan Aman Bagi Ibu Menyusui 087776558899
Obat Penggugur Kandungan Aman Bagi Ibu Menyusui  087776558899Obat Penggugur Kandungan Aman Bagi Ibu Menyusui  087776558899
Obat Penggugur Kandungan Aman Bagi Ibu Menyusui 087776558899
Cara Menggugurkan Kandungan 087776558899
 
Abortion pills in Dammam Saudi Arabia | +966572737505 |Get Cytotec
Abortion pills in Dammam Saudi Arabia | +966572737505 |Get CytotecAbortion pills in Dammam Saudi Arabia | +966572737505 |Get Cytotec
Abortion pills in Dammam Saudi Arabia | +966572737505 |Get Cytotec
Abortion pills in Riyadh +966572737505 get cytotec
 

Recently uploaded (20)

Collecting banker, Capacity of collecting Banker, conditions under section 13...
Collecting banker, Capacity of collecting Banker, conditions under section 13...Collecting banker, Capacity of collecting Banker, conditions under section 13...
Collecting banker, Capacity of collecting Banker, conditions under section 13...
 
DIGITAL COMMERCE SHAPE VIETNAMESE SHOPPING HABIT IN 4.0 INDUSTRY
DIGITAL COMMERCE SHAPE VIETNAMESE SHOPPING HABIT IN 4.0 INDUSTRYDIGITAL COMMERCE SHAPE VIETNAMESE SHOPPING HABIT IN 4.0 INDUSTRY
DIGITAL COMMERCE SHAPE VIETNAMESE SHOPPING HABIT IN 4.0 INDUSTRY
 
Obat Penggugur Kandungan Aman Bagi Ibu Menyusui 087776558899
Obat Penggugur Kandungan Aman Bagi Ibu Menyusui  087776558899Obat Penggugur Kandungan Aman Bagi Ibu Menyusui  087776558899
Obat Penggugur Kandungan Aman Bagi Ibu Menyusui 087776558899
 
MalaysianStates_AnalysisGDPandInvestment_web (1).pdf
MalaysianStates_AnalysisGDPandInvestment_web (1).pdfMalaysianStates_AnalysisGDPandInvestment_web (1).pdf
MalaysianStates_AnalysisGDPandInvestment_web (1).pdf
 
fundamentals of corporate finance 11th canadian edition test bank.docx
fundamentals of corporate finance 11th canadian edition test bank.docxfundamentals of corporate finance 11th canadian edition test bank.docx
fundamentals of corporate finance 11th canadian edition test bank.docx
 
cost-volume-profit analysis.ppt(managerial accounting).pptx
cost-volume-profit analysis.ppt(managerial accounting).pptxcost-volume-profit analysis.ppt(managerial accounting).pptx
cost-volume-profit analysis.ppt(managerial accounting).pptx
 
Shrambal_Distributors_Newsletter_May-2024.pdf
Shrambal_Distributors_Newsletter_May-2024.pdfShrambal_Distributors_Newsletter_May-2024.pdf
Shrambal_Distributors_Newsletter_May-2024.pdf
 
Q1 2024 Conference Call Presentation vF.pdf
Q1 2024 Conference Call Presentation vF.pdfQ1 2024 Conference Call Presentation vF.pdf
Q1 2024 Conference Call Presentation vF.pdf
 
amil baba in australia amil baba in canada amil baba in london amil baba in g...
amil baba in australia amil baba in canada amil baba in london amil baba in g...amil baba in australia amil baba in canada amil baba in london amil baba in g...
amil baba in australia amil baba in canada amil baba in london amil baba in g...
 
The Pfandbrief Roundtable 2024 - Covered Bonds
The Pfandbrief Roundtable 2024 - Covered BondsThe Pfandbrief Roundtable 2024 - Covered Bonds
The Pfandbrief Roundtable 2024 - Covered Bonds
 
Famous Kala Jadu, Black magic expert in Oman Or Kala ilam expert in Kuwait
Famous Kala Jadu, Black magic expert in Oman Or Kala ilam expert in KuwaitFamous Kala Jadu, Black magic expert in Oman Or Kala ilam expert in Kuwait
Famous Kala Jadu, Black magic expert in Oman Or Kala ilam expert in Kuwait
 
20240514-Calibre-Q1-2024-Conference-Call-Presentation.pdf
20240514-Calibre-Q1-2024-Conference-Call-Presentation.pdf20240514-Calibre-Q1-2024-Conference-Call-Presentation.pdf
20240514-Calibre-Q1-2024-Conference-Call-Presentation.pdf
 
Test bank for advanced assessment interpreting findings and formulating diffe...
Test bank for advanced assessment interpreting findings and formulating diffe...Test bank for advanced assessment interpreting findings and formulating diffe...
Test bank for advanced assessment interpreting findings and formulating diffe...
 
Lion One Corporate Presentation May 2024
Lion One Corporate Presentation May 2024Lion One Corporate Presentation May 2024
Lion One Corporate Presentation May 2024
 
Famous Kala Jadu, Kala ilam specialist in USA and Bangali Amil baba in Saudi ...
Famous Kala Jadu, Kala ilam specialist in USA and Bangali Amil baba in Saudi ...Famous Kala Jadu, Kala ilam specialist in USA and Bangali Amil baba in Saudi ...
Famous Kala Jadu, Kala ilam specialist in USA and Bangali Amil baba in Saudi ...
 
Abortion pills in Dammam Saudi Arabia | +966572737505 |Get Cytotec
Abortion pills in Dammam Saudi Arabia | +966572737505 |Get CytotecAbortion pills in Dammam Saudi Arabia | +966572737505 |Get Cytotec
Abortion pills in Dammam Saudi Arabia | +966572737505 |Get Cytotec
 
Certified Kala Jadu, Black magic specialist in Rawalpindi and Bangali Amil ba...
Certified Kala Jadu, Black magic specialist in Rawalpindi and Bangali Amil ba...Certified Kala Jadu, Black magic specialist in Rawalpindi and Bangali Amil ba...
Certified Kala Jadu, Black magic specialist in Rawalpindi and Bangali Amil ba...
 
Black magic specialist in Canada (Kala ilam specialist in UK) Bangali Amil ba...
Black magic specialist in Canada (Kala ilam specialist in UK) Bangali Amil ba...Black magic specialist in Canada (Kala ilam specialist in UK) Bangali Amil ba...
Black magic specialist in Canada (Kala ilam specialist in UK) Bangali Amil ba...
 
20240419-SMC-submission-Annual-Superannuation-Performance-Test-–-design-optio...
20240419-SMC-submission-Annual-Superannuation-Performance-Test-–-design-optio...20240419-SMC-submission-Annual-Superannuation-Performance-Test-–-design-optio...
20240419-SMC-submission-Annual-Superannuation-Performance-Test-–-design-optio...
 
No 1 Top Love marriage specialist baba ji amil baba kala ilam powerful vashik...
No 1 Top Love marriage specialist baba ji amil baba kala ilam powerful vashik...No 1 Top Love marriage specialist baba ji amil baba kala ilam powerful vashik...
No 1 Top Love marriage specialist baba ji amil baba kala ilam powerful vashik...