This chapter provides an overview of the financial system and its key components. It discusses how financial markets channel funds from savers to borrowers, improving economic efficiency. It outlines the structure and classifications of financial markets, including debt, equity and international markets. It then explains the important role of financial intermediaries in facilitating indirect finance between lenders and borrowers through transactions cost reductions, risk sharing, and reducing information asymmetry. The chapter concludes by describing various types of financial intermediaries and the main reasons for regulating the financial system to increase information and ensure intermediary soundness.
The document discusses foreign exchange management. It provides details about the foreign exchange market, including that it is a worldwide network of banks, brokers, corporations and central banks that buy and sell currencies. The market functions 24 hours a day. It also discusses the major participants in the market like commercial banks, customers, central banks, and speculators. Furthermore, it explains different types of transactions in the various markets like spot, forward and cash transactions. It also covers exchange rate systems used by different countries like the gold standard and floating exchange rates.
Chapter 02_Overview of the Financial SystemRusman Mukhlis
This chapter provides an overview of the financial system, including the functions of financial markets and intermediaries in channeling funds from lenders to borrowers. It describes the structure of markets, such as debt versus equity, and primary versus secondary markets. It also discusses the internationalization of markets and the role of regulation in ensuring stability and transparency.
Commercial banks are the largest financial institutions in terms of assets. They accept deposits and make loans. Their major assets are loans and investment securities, while deposits are their major liabilities. Banks play essential roles in payment services, maturity transformation, and monetary policy transmission. They are regulated to protect these services from disruption. Large banks engage in both retail and wholesale banking globally, while community banks focus on local retail banking. The number of banks has declined due to mergers and acquisitions.
This document provides an overview of financial markets and institutions. It begins by defining financial markets as channels that allow funds to flow from economic units with savings to those that need funds. It then describes the key components of financial markets, including the debt and equity markets, primary and secondary markets, and money and capital markets. It also outlines the main instruments traded in these markets, such as stocks, bonds, bills, and notes. The document concludes by defining financial institutions as intermediaries that collect funds from savers and allocate them to borrowers. It categorizes the main types of financial institutions as brokers, dealers, investment banks, and other financial intermediaries.
This document provides an overview of international financial management for multinational corporations (MNCs). It discusses the goal of MNCs to maximize shareholder wealth but also potential conflicts with managers pursuing subsidiary goals instead of corporate goals. It covers theories justifying international business like comparative advantage. Methods for conducting international business include exporting, licensing, franchising, joint ventures, acquisitions, and foreign direct investment (FDI) through new subsidiaries. MNCs face risks from foreign exchange rates, economies, and politics that financial managers must address.
The document provides an overview of the financial system and its key components. It discusses how financial markets and institutions help channel funds from savers to borrowers, allowing for investment and economic growth. It then covers the major types of financial markets and instruments, including debt vs equity markets, primary vs secondary markets, money markets, capital markets, and derivatives. It also discusses the internationalization of financial markets through foreign bonds, Eurobonds, and Eurocurrencies.
This document provides an overview of international financial markets, including the foreign exchange market, Eurocurrency market, Eurocredit market, Eurobond market, and international stock markets. It discusses motives for using these markets, such as taking advantage of interest rate differences or currency movements. The functions of these markets in facilitating international investment, trade, and borrowing are also covered.
Financial markets and their impact on economyShivkumar Menon
Financial Markets - This deck captures the movement of Money markets and Capital Markets, its impact on different stakeholders viz. Individuals, businesses, markets and the economy
The document discusses foreign exchange management. It provides details about the foreign exchange market, including that it is a worldwide network of banks, brokers, corporations and central banks that buy and sell currencies. The market functions 24 hours a day. It also discusses the major participants in the market like commercial banks, customers, central banks, and speculators. Furthermore, it explains different types of transactions in the various markets like spot, forward and cash transactions. It also covers exchange rate systems used by different countries like the gold standard and floating exchange rates.
Chapter 02_Overview of the Financial SystemRusman Mukhlis
This chapter provides an overview of the financial system, including the functions of financial markets and intermediaries in channeling funds from lenders to borrowers. It describes the structure of markets, such as debt versus equity, and primary versus secondary markets. It also discusses the internationalization of markets and the role of regulation in ensuring stability and transparency.
Commercial banks are the largest financial institutions in terms of assets. They accept deposits and make loans. Their major assets are loans and investment securities, while deposits are their major liabilities. Banks play essential roles in payment services, maturity transformation, and monetary policy transmission. They are regulated to protect these services from disruption. Large banks engage in both retail and wholesale banking globally, while community banks focus on local retail banking. The number of banks has declined due to mergers and acquisitions.
This document provides an overview of financial markets and institutions. It begins by defining financial markets as channels that allow funds to flow from economic units with savings to those that need funds. It then describes the key components of financial markets, including the debt and equity markets, primary and secondary markets, and money and capital markets. It also outlines the main instruments traded in these markets, such as stocks, bonds, bills, and notes. The document concludes by defining financial institutions as intermediaries that collect funds from savers and allocate them to borrowers. It categorizes the main types of financial institutions as brokers, dealers, investment banks, and other financial intermediaries.
This document provides an overview of international financial management for multinational corporations (MNCs). It discusses the goal of MNCs to maximize shareholder wealth but also potential conflicts with managers pursuing subsidiary goals instead of corporate goals. It covers theories justifying international business like comparative advantage. Methods for conducting international business include exporting, licensing, franchising, joint ventures, acquisitions, and foreign direct investment (FDI) through new subsidiaries. MNCs face risks from foreign exchange rates, economies, and politics that financial managers must address.
The document provides an overview of the financial system and its key components. It discusses how financial markets and institutions help channel funds from savers to borrowers, allowing for investment and economic growth. It then covers the major types of financial markets and instruments, including debt vs equity markets, primary vs secondary markets, money markets, capital markets, and derivatives. It also discusses the internationalization of financial markets through foreign bonds, Eurobonds, and Eurocurrencies.
This document provides an overview of international financial markets, including the foreign exchange market, Eurocurrency market, Eurocredit market, Eurobond market, and international stock markets. It discusses motives for using these markets, such as taking advantage of interest rate differences or currency movements. The functions of these markets in facilitating international investment, trade, and borrowing are also covered.
Financial markets and their impact on economyShivkumar Menon
Financial Markets - This deck captures the movement of Money markets and Capital Markets, its impact on different stakeholders viz. Individuals, businesses, markets and the economy
- Bond valuation involves discounting future cash flows from bonds like coupon payments and principal repayment to calculate the present value, which is the bond price.
- Zero-coupon bonds pay the full face value at maturity with no interim coupon payments, while coupon bonds pay regular interest payments and repay the principal.
- Bond prices are inversely related to interest rates - they fall when rates rise and vice versa. Longer-term bonds are more sensitive to interest rate changes.
The document provides an overview of investment banking. It discusses the various divisions within an investment bank like corporate finance, fixed income, currencies and commodities (FICC), equities, and support functions. It explains that a typical investment banking deal can involve multiple divisions from structuring and pricing to selling the asset. The document also covers topics like the difference between commercial/investment banks and traditional investment banks, the impact of regulations like the Volcker Rule and Basel 3, and the current challenges in the investment banking industry due to the economic environment.
1. The Malaysian Financial System consists of 3 broad sectors: the banking system, non-bank financial intermediaries, and financial markets. The banking system includes Bank Negara Malaysia and commercial banks, and makes up about 67% of total financial system assets.
2. Non-bank financial intermediaries such as insurance companies and Cagamas Berhad provide financial services but obtain funds differently than banks.
3. Financial markets allow for the exchange of capital, credit, and other financial instruments in money markets, capital markets, and derivatives markets. This includes stock exchanges, bond markets, and foreign exchange trading.
Market abuse directive and market manipulationBank Industry
The document provides an overview of the European Market Abuse Directive (MAD) of 2003. It discusses the key goals of the MAD, including harmonizing regulations across EU member states to create an integrated financial market and ensure market integrity. It outlines different types of market manipulation according to the MAD, including transaction-based and information-based manipulation. It also discusses exceptions to market manipulation like accepted market practices and safe harbors. The document uses examples and case studies to illustrate different provisions and concepts related to the MAD.
Title: "Euro Currency Market"
Prepared by: Tehseen Khan
1: INTERNATIONAL FINANCIAL MARKET
. The foreign exchange market is a global decentralized market for the trading of currencies
. The main participants in this market are the larger international banks
.The foreign exchange market works through financial institutions, and it operates on several levels
2: EUROCURRENCY MARKET
A Eurocurrency market is a currency market that runs banking services by using foreign currencies set outside of the national market.
3: EUROBOND
A Eurobond is an international bond that is denominated in a currency not native to the country where it is issued.
Ch.2 Overview of the Financial System - mishkin.pptSajidIqbalLibrary
The document provides an overview of the financial system and financial markets. It discusses that the financial system consists of financial markets, institutions, and regulatory bodies. Financial markets channel funds from those with surplus to those with deficits. They promote economic efficiency and improve consumer well-being. The structure of financial markets can be classified by financial instrument type, maturity date, and whether the security is being originally issued or previously traded.
The Federal Reserve System is the central bank of the United States. It was established in 1913 with the enactment of the Federal Reserve Act in response to a series of financial panics. The Federal Reserve System has a three-part structure - the Board of Governors, the Federal Open Market Committee, and the 12 Federal Reserve Banks. It uses various monetary policy tools like open market operations, the discount rate, and reserve requirements to regulate the supply of money and achieve its mandates of maximum employment, stable prices, and moderate long-term interest rates. Despite its efforts, the Federal Reserve faces ongoing scrutiny over its ability to stimulate economic recovery in the aftermath of the late 2000s recession.
This document discusses exchange rate determination and factors that influence exchange rates. It begins by explaining how exchange rates are measured in terms of currency appreciation and depreciation. The equilibrium exchange rate is then defined as being determined by the demand and supply of currencies. Several factors are described as influencing the equilibrium rate, including inflation rates, interest rates, income levels, government controls, and expectations about future exchange rates. The interaction of these factors and how they can both reinforce and offset each other is also discussed. The chapter concludes by examining how commercial banks can speculate on anticipated exchange rate movements.
THE CLASSIFICATION OF DEBT INSTRUMENTS IN INDIAVARUN KESAVAN
Debt Instruments are obligation of issuer of such instrument as regards certain future cash flow representing Interest & Principal, which the issuer would pay to the legal owner of the Instrument. Types of Debt Instruments are of different types like Bonds, Debentures, Commercial Papers, Certificates of Deposit, Government Securities (G - Secs) etc. The Government Securities (G-Secs) market is the oldest and the largest element of the Indian debt market in terms of market capitalization, trading volumes and outstanding securities. The G-Secs market plays a very important role in the Indian economy as it provides the benchmark for determining the level of interest rates in the country through the yields on the government securities which are treated as the risk-free rate of return in any economy.
The reserve Bank of India has allowed Primary Dealers, Banks and Financial Institutions in India to do transactions in debt instruments among themselves or with non-bank clients. Debt instruments provide fixed return known as coupon rate. Retail investors would have a natural preference for fixed income returns and especially so in the present situation of increasing volatility in the financial markets. Now, retail investors are also showing keen interest in Debt Instruments particularly in the Central Government Securities (G-secs).For an individual investor G-secs are one of the best investment options as there is zero default risk and lower volatility.
Securities firms and investment banks help transfer funds from households to businesses. Investment banks are involved in raising capital through transactions like debt and equity underwriting. They also provide advisory services for mergers and acquisitions. Securities firms specialize in trading existing securities. The investment banking industry was impacted by the 2008 financial crisis, with some of the largest banks ceasing to exist. Regulations aim to protect investors and oversee the industry.
Commercial banks are the largest financial institutions in terms of total assets. They take in deposits and make loans. The document provides an overview of the commercial banking industry, including:
- Major assets are loans and investment securities. Major liabilities are deposits.
- Banks play key roles in monetary policy transmission, payments, and maturity transformation. They are regulated to protect deposits and financial stability.
- Large banks engage in both retail and wholesale banking, while small banks focus on retail. Regulations and consolidation have reduced the number of banks in the US over time.
This document provides an overview of the Indian financial system. It discusses the key components of the Indian financial system including financial assets, institutions, markets, and services. Financial assets are used to transfer funds from lenders to borrowers and include securities and commodities. Major financial institutions include banks, cooperative banks, development finance institutions, money lenders, and chit funds. Financial markets allow for trading of financial securities and commodities and include the capital market, money market, and unorganized markets. Financial services involve mobilizing savings and allocating them to investment to promote development. The key players providing Indian financial services are commercial banks, financial institutions, and non-banking financial companies. Challenges facing the Indian financial system include
Securities firm vs. Investment banks (Capital Market)Instagram
Investment banks assist individuals, corporations and governments in raising capital through underwriting and securities issuance. They also assist with mergers and acquisitions. The Volcker Rule requires separation of investment banking from commercial banking. There are two main types of investment banking: sell-side firms that facilitate securities trading, and buy-side firms that advise on purchasing investments. Brokers arrange securities transactions for a fee, dealers purchase securities to sell for profit, and broker-dealers act as both.
This document provides an overview of chapter 2 from a financial markets textbook. It discusses the roles that financial markets and intermediaries play in channeling funds from savers to borrowers. It describes the structure of financial markets, including debt, equity, primary and secondary markets. It also outlines the functions of financial intermediaries in reducing transactions costs and asymmetric information. Finally, it lists some common types of financial intermediaries such as banks, thrifts, insurance companies, and pension funds.
The document is a paper submitted for a course on financial institutions and markets. It provides an overview of the money market, including definitions, key participants, instruments, and objectives. The money market allows short-term borrowing and lending, typically less than one year, to meet temporary cash needs. It helps channel savings to those needing funds and facilitates monetary policy. Principal participants include banks, corporations, money market mutual funds. Common instruments include certificates of deposit, repurchase agreements, commercial paper, and treasury bills. The goals for investors are safety, liquidity, and generating interest income on temporary cash surpluses.
Chapter 3 Depository Institutions: Activities and CharacteristicsNardin A
Chapter 3 Depository Institutions: Activities and Characteristics
Foundations of Financial Markets and Institutions 4th edition 2009
Frank J. Fabozzi
Franco Modigliani
Frank J. Jones
This document discusses analyzing the financial statements of commercial banks. It covers key components of bank balance sheets and income statements, as well as off-balance sheet items and how they are evaluated. Regulators use CAMELS ratings to assess banks, focusing on capital adequacy, asset quality, management, earnings, liquidity, and market sensitivity. Return on equity is a key framework for analyzing bank performance by decomposing it into return on assets and equity multiplier. Various ratios like net interest margin, overhead efficiency, and components of profit margin provide additional insights. The appropriate analysis depends on a bank's niche and size.
Uses of money market instrument in Bangladesh -Eastern Bank Limited(EBPL)Ariful Saimon
The document provides background information on Eastern Bank Limited (EBL), one of the largest private commercial banks in Bangladesh. It discusses EBL's vision, mission, values, products, organizational structure, and role in the Bangladeshi money market. Specifically, it outlines EBL's objectives to understand money market procedures, identify issues, recommend regulations, and identify various money market investment modes used by EBL. It also summarizes EBL's history, locations, management team, and corporate details.
This document outlines learning objectives and content for a chapter on optimal portfolio choice and investment management. It discusses key concepts such as computing the expected return and volatility of portfolios with different weights and numbers of assets. Specific topics covered include calculating portfolio weights, covariance and correlation, the efficient frontier, and how diversification reduces risk through combining assets with imperfect correlations. Formulas are provided for determining portfolio expected return, variance, and standard deviation. Examples demonstrate applying these concepts to sample portfolios.
The Académie des Arts de Vivre (AAV) is dedicated to providing authentic cultural experiences in France through tours that focus on architecture, gardens, interior design, food, wine, crafts, and luxury goods - giving visitors a memorable and potentially life-changing introduction to French arts de vivre.
- Bond valuation involves discounting future cash flows from bonds like coupon payments and principal repayment to calculate the present value, which is the bond price.
- Zero-coupon bonds pay the full face value at maturity with no interim coupon payments, while coupon bonds pay regular interest payments and repay the principal.
- Bond prices are inversely related to interest rates - they fall when rates rise and vice versa. Longer-term bonds are more sensitive to interest rate changes.
The document provides an overview of investment banking. It discusses the various divisions within an investment bank like corporate finance, fixed income, currencies and commodities (FICC), equities, and support functions. It explains that a typical investment banking deal can involve multiple divisions from structuring and pricing to selling the asset. The document also covers topics like the difference between commercial/investment banks and traditional investment banks, the impact of regulations like the Volcker Rule and Basel 3, and the current challenges in the investment banking industry due to the economic environment.
1. The Malaysian Financial System consists of 3 broad sectors: the banking system, non-bank financial intermediaries, and financial markets. The banking system includes Bank Negara Malaysia and commercial banks, and makes up about 67% of total financial system assets.
2. Non-bank financial intermediaries such as insurance companies and Cagamas Berhad provide financial services but obtain funds differently than banks.
3. Financial markets allow for the exchange of capital, credit, and other financial instruments in money markets, capital markets, and derivatives markets. This includes stock exchanges, bond markets, and foreign exchange trading.
Market abuse directive and market manipulationBank Industry
The document provides an overview of the European Market Abuse Directive (MAD) of 2003. It discusses the key goals of the MAD, including harmonizing regulations across EU member states to create an integrated financial market and ensure market integrity. It outlines different types of market manipulation according to the MAD, including transaction-based and information-based manipulation. It also discusses exceptions to market manipulation like accepted market practices and safe harbors. The document uses examples and case studies to illustrate different provisions and concepts related to the MAD.
Title: "Euro Currency Market"
Prepared by: Tehseen Khan
1: INTERNATIONAL FINANCIAL MARKET
. The foreign exchange market is a global decentralized market for the trading of currencies
. The main participants in this market are the larger international banks
.The foreign exchange market works through financial institutions, and it operates on several levels
2: EUROCURRENCY MARKET
A Eurocurrency market is a currency market that runs banking services by using foreign currencies set outside of the national market.
3: EUROBOND
A Eurobond is an international bond that is denominated in a currency not native to the country where it is issued.
Ch.2 Overview of the Financial System - mishkin.pptSajidIqbalLibrary
The document provides an overview of the financial system and financial markets. It discusses that the financial system consists of financial markets, institutions, and regulatory bodies. Financial markets channel funds from those with surplus to those with deficits. They promote economic efficiency and improve consumer well-being. The structure of financial markets can be classified by financial instrument type, maturity date, and whether the security is being originally issued or previously traded.
The Federal Reserve System is the central bank of the United States. It was established in 1913 with the enactment of the Federal Reserve Act in response to a series of financial panics. The Federal Reserve System has a three-part structure - the Board of Governors, the Federal Open Market Committee, and the 12 Federal Reserve Banks. It uses various monetary policy tools like open market operations, the discount rate, and reserve requirements to regulate the supply of money and achieve its mandates of maximum employment, stable prices, and moderate long-term interest rates. Despite its efforts, the Federal Reserve faces ongoing scrutiny over its ability to stimulate economic recovery in the aftermath of the late 2000s recession.
This document discusses exchange rate determination and factors that influence exchange rates. It begins by explaining how exchange rates are measured in terms of currency appreciation and depreciation. The equilibrium exchange rate is then defined as being determined by the demand and supply of currencies. Several factors are described as influencing the equilibrium rate, including inflation rates, interest rates, income levels, government controls, and expectations about future exchange rates. The interaction of these factors and how they can both reinforce and offset each other is also discussed. The chapter concludes by examining how commercial banks can speculate on anticipated exchange rate movements.
THE CLASSIFICATION OF DEBT INSTRUMENTS IN INDIAVARUN KESAVAN
Debt Instruments are obligation of issuer of such instrument as regards certain future cash flow representing Interest & Principal, which the issuer would pay to the legal owner of the Instrument. Types of Debt Instruments are of different types like Bonds, Debentures, Commercial Papers, Certificates of Deposit, Government Securities (G - Secs) etc. The Government Securities (G-Secs) market is the oldest and the largest element of the Indian debt market in terms of market capitalization, trading volumes and outstanding securities. The G-Secs market plays a very important role in the Indian economy as it provides the benchmark for determining the level of interest rates in the country through the yields on the government securities which are treated as the risk-free rate of return in any economy.
The reserve Bank of India has allowed Primary Dealers, Banks and Financial Institutions in India to do transactions in debt instruments among themselves or with non-bank clients. Debt instruments provide fixed return known as coupon rate. Retail investors would have a natural preference for fixed income returns and especially so in the present situation of increasing volatility in the financial markets. Now, retail investors are also showing keen interest in Debt Instruments particularly in the Central Government Securities (G-secs).For an individual investor G-secs are one of the best investment options as there is zero default risk and lower volatility.
Securities firms and investment banks help transfer funds from households to businesses. Investment banks are involved in raising capital through transactions like debt and equity underwriting. They also provide advisory services for mergers and acquisitions. Securities firms specialize in trading existing securities. The investment banking industry was impacted by the 2008 financial crisis, with some of the largest banks ceasing to exist. Regulations aim to protect investors and oversee the industry.
Commercial banks are the largest financial institutions in terms of total assets. They take in deposits and make loans. The document provides an overview of the commercial banking industry, including:
- Major assets are loans and investment securities. Major liabilities are deposits.
- Banks play key roles in monetary policy transmission, payments, and maturity transformation. They are regulated to protect deposits and financial stability.
- Large banks engage in both retail and wholesale banking, while small banks focus on retail. Regulations and consolidation have reduced the number of banks in the US over time.
This document provides an overview of the Indian financial system. It discusses the key components of the Indian financial system including financial assets, institutions, markets, and services. Financial assets are used to transfer funds from lenders to borrowers and include securities and commodities. Major financial institutions include banks, cooperative banks, development finance institutions, money lenders, and chit funds. Financial markets allow for trading of financial securities and commodities and include the capital market, money market, and unorganized markets. Financial services involve mobilizing savings and allocating them to investment to promote development. The key players providing Indian financial services are commercial banks, financial institutions, and non-banking financial companies. Challenges facing the Indian financial system include
Securities firm vs. Investment banks (Capital Market)Instagram
Investment banks assist individuals, corporations and governments in raising capital through underwriting and securities issuance. They also assist with mergers and acquisitions. The Volcker Rule requires separation of investment banking from commercial banking. There are two main types of investment banking: sell-side firms that facilitate securities trading, and buy-side firms that advise on purchasing investments. Brokers arrange securities transactions for a fee, dealers purchase securities to sell for profit, and broker-dealers act as both.
This document provides an overview of chapter 2 from a financial markets textbook. It discusses the roles that financial markets and intermediaries play in channeling funds from savers to borrowers. It describes the structure of financial markets, including debt, equity, primary and secondary markets. It also outlines the functions of financial intermediaries in reducing transactions costs and asymmetric information. Finally, it lists some common types of financial intermediaries such as banks, thrifts, insurance companies, and pension funds.
The document is a paper submitted for a course on financial institutions and markets. It provides an overview of the money market, including definitions, key participants, instruments, and objectives. The money market allows short-term borrowing and lending, typically less than one year, to meet temporary cash needs. It helps channel savings to those needing funds and facilitates monetary policy. Principal participants include banks, corporations, money market mutual funds. Common instruments include certificates of deposit, repurchase agreements, commercial paper, and treasury bills. The goals for investors are safety, liquidity, and generating interest income on temporary cash surpluses.
Chapter 3 Depository Institutions: Activities and CharacteristicsNardin A
Chapter 3 Depository Institutions: Activities and Characteristics
Foundations of Financial Markets and Institutions 4th edition 2009
Frank J. Fabozzi
Franco Modigliani
Frank J. Jones
This document discusses analyzing the financial statements of commercial banks. It covers key components of bank balance sheets and income statements, as well as off-balance sheet items and how they are evaluated. Regulators use CAMELS ratings to assess banks, focusing on capital adequacy, asset quality, management, earnings, liquidity, and market sensitivity. Return on equity is a key framework for analyzing bank performance by decomposing it into return on assets and equity multiplier. Various ratios like net interest margin, overhead efficiency, and components of profit margin provide additional insights. The appropriate analysis depends on a bank's niche and size.
Uses of money market instrument in Bangladesh -Eastern Bank Limited(EBPL)Ariful Saimon
The document provides background information on Eastern Bank Limited (EBL), one of the largest private commercial banks in Bangladesh. It discusses EBL's vision, mission, values, products, organizational structure, and role in the Bangladeshi money market. Specifically, it outlines EBL's objectives to understand money market procedures, identify issues, recommend regulations, and identify various money market investment modes used by EBL. It also summarizes EBL's history, locations, management team, and corporate details.
This document outlines learning objectives and content for a chapter on optimal portfolio choice and investment management. It discusses key concepts such as computing the expected return and volatility of portfolios with different weights and numbers of assets. Specific topics covered include calculating portfolio weights, covariance and correlation, the efficient frontier, and how diversification reduces risk through combining assets with imperfect correlations. Formulas are provided for determining portfolio expected return, variance, and standard deviation. Examples demonstrate applying these concepts to sample portfolios.
The Académie des Arts de Vivre (AAV) is dedicated to providing authentic cultural experiences in France through tours that focus on architecture, gardens, interior design, food, wine, crafts, and luxury goods - giving visitors a memorable and potentially life-changing introduction to French arts de vivre.
Este documento contiene 25 problemas de geometría analítica que involucran cálculos de distancias entre puntos, coordenadas de puntos medios y baricentros de triángulos, perímetros y áreas de cuadrados y triángulos. Los problemas deben ser resueltos calculando valores numéricos o letras asociadas a las coordenadas de los puntos dados en cada ejercicio.
The document quotes Thomas Edison saying that he has not failed at inventing the light bulb, but rather found 10,000 ways that did not work before discovering a method that did work. The quote reflects Edison's persistence in experimenting with many potential solutions until he was successful.
SUSE Linux Enterprise Server 11 is a Linux distribution developed by SUSE. The document discusses this server operating system in 3 paragraphs providing details on its features, applications, and support services. In summary, SLES 11 provides a stable, secure platform for businesses with long term support and tools for virtualization, high performance computing, and cloud deployments.
Este documento presenta un manual de instrucciones para el uso básico de Microsoft Excel 2013. Explica cómo iniciar el programa, identificar los componentes de la pantalla principal, introducir datos en una hoja de trabajo, realizar modificaciones, guardar y abrir archivos, crear fórmulas y gráficos, e incluye una prueba de destrezas al final. El manual fue creado por profesores de la Universidad de Puerto Rico en Aguadilla con el propósito de enseñar las herramientas básicas de Excel.
James Pountney Pgce Interview PresentationPountneyJ
The document discusses proposed changes to the UK education system that would require students to remain in education until age 16, and potentially until ages 17 or 18. The advantages are seen as more opportunities for higher education, better job opportunities, and higher qualifications overall. However, disadvantages include potential overcrowding at universities, less time for apprenticeships or other commitments, and less motivation for students struggling at lower levels. While the changes may be beneficial, the full results remain to be seen as no students have passed through the entire new system yet.
Este documento trata sobre integrales indefinidas y el método de cambio de variable para resolverlas. Explica que una integral indefinida representa el conjunto de primitivas de una función y presenta las propiedades y reglas básicas de integración. Luego, describe el procedimiento para realizar un cambio de variable, el cual permite transformar la integral en una forma más sencilla de integrar. Finalmente, incluye ejemplos de integrales trigonométricas y ejercicios resueltos.
The document discusses the new curriculum that requires all students to continue their education until age 16 and obtain GCSE qualifications, with the option to pursue further education such as A-Levels or apprenticeships. It outlines both the advantages, such as more opportunities for higher education and better job prospects, and disadvantages, including potential overcrowding in universities and less time for personal growth, of extending compulsory education. The conclusion states that while more education could provide benefits, the full effects remain to be seen as no students have yet completed the new requirements.
The document discusses ideas for teaching English to children at home and at school. It begins by outlining how children learn languages implicitly through exposure and explicitly through direct instruction. It then provides several ideas for teaching English at home through educational apps, podcasts, storytelling websites and YouTube channels. These resources include games, songs, videos and stories to make English learning fun. It emphasizes finding a balance between screen time, online safety, and allowing children opportunities for exploration.
This document summarizes a Keynesian macroeconomic model for asset pricing under uncertainty presented by Dr. Guilherme R. S. Souza e Silva and Dr. Marcelo Luiz Curado of UFPR - Brazil at the 13th International Post Keynesian Conference. The model considers speculation, uncertainty, herd behavior, and macroeconomic relations in determining asset prices, unlike conventional models which assume rational expectations and efficient markets. The model presents equations for aggregate demand, the money market, and bond market to determine equilibrium output and interest rates. It also includes equations defining consumption, investment, and asset valuation as functions of output and interest rates. Conditions for stability of the model are discussed. The authors conclude that speculative bubbles can
Notes on Marx, Say's Law and the Interconnectedness of the Capitalist Economypkconference
- Marx rejected Say's law that supply creates its own demand, arguing that crises are inevitable under capitalism due to miscalculations that spread.
- Crises typically start when profits fall in a leading sector due to rising input costs or falling demand, squeezing profits. This initial squeeze then spreads to other sectors through economic interconnectedness.
- While the source of the initial profit squeeze may vary, the effects are the same - contractions spread from the initially affected sectors through supply chains and reduced consumption, resulting in a general economic crisis. Marx saw this pattern as inevitable due to the nature of capitalist production and interconnections.
Este documento resume la situación tributaria en Perú. Explica que los ingresos tributarios recaudados por SUNAT han aumentado cada año desde 2010 hasta 2014, siendo Lima y Arequipa los departamentos que generan más ingresos. También analiza los cambios normativos recientes como la reducción de tasas del impuesto a la renta corporativo y el aumento de tasas sobre dividendos, así como nuevos incentivos para la investigación científica y los fondos de inversión inmobiliaria.
Understand the role that financial institutions play in managerial
finance. Contrast the functions of financial institutions and financial markets.
Describe the differences between the capital markets and the
money markets.Discuss business taxes and their importance in financial decisions.
Financial Management
http://www.wileybusinessupdates.com
Chapter
17
1
Define the role of the financial manager.
Describe financial planning.
Outline how organizations manage their assets.
Discuss the sources of funds and capital structure.
1
Learning Objectives
Identify short-term funding options.
Discuss sources of long-term financing.
Describe mergers, acquisitions, buyouts, and divestitures.
2
3
4
5
6
7
2
Finance– planning, obtaining, and managing the company’s funds in order to accomplish its objectives
Maximizing overall worth
Meeting expenses
Investing in assets
Increasing profits to shareholders
The Business Function of Finance
3
Implement the firm’s financial plan
Determine the most appropriate source of funds
Many CFOs are members of the board of directors
The Role of the Finance Manager
4
The process of maximizing the wealth of the firm’s shareholders by striking the optimal balance between risk and return.
Risk-Return Tradeoff
5
Financial Plan– the inflows and outflows and sources of funds.
Financial plans are built by answering the following questions:
What funds will the firm require during the planning period?
When will it need additional funds?
Where will it obtain the necessary funds?
Financial plans are based on the forecasts of costs and expected sales activities for a given period.
Financial Planning
6
Sound financial management requires assets to be managed and acquired.
What a firm owns
Use of funds
Managing Assets
7
Cash
Marketable Securities
Accounts Receivable
Inventory
Short-Term Assets
8
Long-lived assets
Produce economic benefit for more than one year
Substantial investments
Capital Investment Analysis
Expansion: new assets
Replacement: upgrading assets
Capital Investment Analysis
9
Debt Capital– funds obtained through borrowing.
Equity Capital– investment in the firm in exchange for ownership.
Sources of Funds and Capital Structure
10
Goal: increasing the rate of return on funds invested by borrowing funds
Leverage and Capital Structure
11
Short-term funds
Current liabilities
Less expensive
Volatile interest rates
Long-term funds
Long-term debt and equity
Used for long-term assets
Mixing Short and Long-Term Funds
12
Dividends are cash payments to shareholders.
Highest dividend yielding stocks
Financial managers must make decisions regarding their dividend policy.
Should we pay a dividend?
When should it be paid?
Dividend Policy
13
Trade Credit
Short-term Loans
Commercial Paper
Short-Term Funding Options
14
Public Sale of Stocks and Bonds
Private Placements
Private Equity Funds
Hedge Funds
Sources of Long-Term Financing
15
Financial managers evaluate mergers, acquisitions, and other opportunities.
Leveraged buyouts
Divestiture
Sell-off/Spin-off
Mergers, Acquisitions, Buyouts, and Divestitures
...
The financial system channels funds from savers to borrowers through financial intermediation and markets. It improves economic efficiency by allocating capital to its most productive uses. The primary functions of the financial system are to transfer funds from lenders like households to borrowers like businesses, improve consumer well-being by allowing better timing of purchases, and produce an efficient allocation of capital contributing to higher economic production. Financial markets and intermediaries facilitate this process through direct financing in markets and indirect financing through intermediaries. Regulation aims to increase information to investors, ensure the soundness of intermediaries to prevent failures, and improve monetary control.
1. Financial management involves making important decisions for a company such as investments, financing, and daily operations to maximize shareholder wealth. It encompasses areas like capital markets, investments, and financial management.
2. There are different legal forms of business organization like sole proprietorships, partnerships, and corporations. The goals of a firm are typically to maximize profits or shareholder wealth by making decisions that increase the market price of the company's stock.
3. Financial markets and institutions play a key role by facilitating the flow of funds from entities with capital surpluses to those with deficits. This includes primary markets where new securities are issued and secondary markets for existing securities.
1. The document provides an overview of financial systems, markets, institutions, instruments and crises. It discusses topics such as direct and indirect finance, balance sheets, income statements, financial management decisions, business organizations, and goals of financial management.
2. Key concepts covered include financial instruments like stocks, bonds, and loans, as well as financial markets and institutions. Examples of major financial crises throughout history are also summarized such as the Panic of 1907, Credit Crisis of 1772, and Japan's Lost Decade.
3. The subprime mortgage crisis of 2008 and related Financial Crisis are examined in more depth, noting the role of easy credit availability, the housing bubble, and subsequent crash in housing prices.
This document provides an overview of financial markets and intermediaries. It discusses the primary and secondary markets where securities are issued and traded. It also describes different types of financial institutions like banks, insurance companies, and brokerage firms that operate as intermediaries between companies, investors, and depositors. Examples are given to illustrate the flow of cash from companies and intermediaries to investors. The functions of financial markets and intermediaries in transferring risk, providing liquidity and information are outlined. The document also summarizes the causes and response to the 2007-2009 financial crisis, including government bailouts.
Financial institutions play important roles in capital markets by acting as intermediaries between issuers and investors. They transform financial assets into more widely preferred liabilities and provide important economic functions like maturity transformation, risk reduction through diversification, and reducing the costs of contracting and information processing. In the Philippines, the central bank (Bangko Sentral ng Pilipinas) regulates the financial system and maintains price stability, while a variety of banks, non-banking institutions, and government agencies facilitate financial transactions and help channel funds between lenders and borrowers.
This chapter introduces why students should study financial markets and institutions. It provides an overview of the primary bond, stock, and foreign exchange markets and how they function. It also discusses the role of financial institutions in channeling funds between savers and investors. The chapter outlines how the book will use simplified models, case studies, and real-world articles to help students develop analytical skills for understanding markets.
Week-1 Into to Money and Bankingand Basic Overview of U.S. Fin.docxalanfhall8953
Week-1 Into to Money and Banking
and Basic Overview of U.S. Financial System
Money and Banking Econ 311
Instructor: Thomas L. Thomas
Financial markets transfer funds from people who have excess available funds to people who have a shortage.
They promote grater economic efficiency by channeling funds from people who do not have a productive use for them to those who do.
Well functioning financial markets are a key factor in producing economic growth, where as, poor functioning financial markets are a major reason many countries in the world remain poor.
Financial Markets
A security or financial instrument is a claim on the issuer’s future income or assets.
A bond is a debt security (IOU) that promises to make payments periodically for a specified period of time.
The bond market is especially important economic activity because it enables businesses and the government to borrow and finance their activities and because it is where interest rates are determined.
An interest rate is the cost of borrowing money or the price to rent (use someone else’s) funds.
Because different interest rates tend to move in unison, economist frequently lump interest rates together and refer to the “interest rate”.
Interest rates are important on a number of levels:
High interest rates retard borrowing
High interest rates induce saving.
Lower interest rates induce borrowing
Lower Interest rates retard saving
Information Asymmetry and Information costs
Why Financial Intermediaries
In the neo-classical world economists have argued financial intermediaries are not necessary. Savers (investors) could manage their risks through diversification.
The logic rests on the perfect market assumption – that is investors can always through their own borrowing and lending compose their portfolios as they see fit, without costs. In such a world there are no bankruptcy costs.
In such a world if taken to the extreme, perfect and complete markets imply that there is no need for financial institutions to intermediate in the financial (capital markets) as every investor (saver) has complete information and can contract with the market at the same terms as banks. E.g. Information Asymmetry
Why Financial Intermediaries Bonds
A common stock (usually called stock) represents a share of ownership in a corporation.
It is usually a security that is a claim on the earnings and assets of the corporation.
Issuing stock and selling it to the public (called a public offering) is a way for corporations to raise the funds to finance their activities.
The stock market is the most widely followed financial market in almost every country that has one – that is why it is generally called the market – here “Wall Street.”
The stock market is also an important factor in business investment decisions, because the price of shares affects the amount of funds that can be raised by selling newly issued stock to finance investment spending. (Note impact examples..
This document provides information about a student's assignment submission for a course on Financial Markets and Institutions. It includes the student's details, assignment details such as course code, submission date, and signature. It also includes sections for the tutor to fill out including date of receiving assignment, marks obtained, comments, and date of returning the assignment with the tutor's signature. The assignment questions ask about the importance of financial markets, components of the financial system, roles of the central bank, and functions of money.
The document discusses primary and secondary markets. The primary market involves the initial sale of securities to raise capital, such as initial public offerings. Companies work with investment bankers to facilitate primary market activity. The secondary market involves the subsequent trading of existing securities on stock exchanges. It provides liquidity for investors and encourages new investment. Some key differences between primary and secondary markets are that the primary market deals with new issues, has no set location, and occurs before the secondary market.
The document discusses primary and secondary capital markets. The primary market issues new securities, allowing companies to raise funds. The secondary market allows investors to buy and sell existing securities from other investors. It also discusses the roles of investment banks in originating, underwriting, and distributing new securities issues through public offerings. The public offering process involves investment bank tasks like due diligence, negotiating the offering price, and distributing securities to investors.
The financial system plays a crucial role in economic development by facilitating the transfer of resources from savers to investors. It consists of financial institutions, financial markets, financial instruments, and financial services. Recent developments include the establishment of regulatory bodies like SEBI and reforms in the capital market, money market, and commercial banking sector. Capital market reforms involve the growth of stock exchanges, mutual funds, and electronic trading. Money market reforms include deregulating interest rates and developing new market instruments. Reforms in commercial banks feature reduced reserve requirements, interest rate deregulation, and increased operational autonomy.
The document provides an overview of the financial system and the roles of financial markets and intermediaries. It discusses how financial markets channel funds from savers to borrowers, improving economic efficiency. Financial intermediaries such as banks play an important role in indirect finance by obtaining funds from savers and lending to borrowers, reducing transaction costs and enabling risk sharing. The globalization of financial markets is increasing competition for U.S. capital markets from foreign exchanges like London and Hong Kong.
This document provides an overview of financial markets and institutions. It begins with definitions of financial markets and how they function to channel funds from surplus to deficit units. It describes the structure of financial markets, including the key differences between debt and equity markets, primary and secondary markets, and money and capital markets. The main instruments traded in both money and capital markets are outlined. The document then shifts to defining financial institutions and their primary functions in facilitating indirect finance. The major types of financial institutions such as depository institutions, contractual savings institutions, and investment intermediaries are described. Finally, the document discusses regulations of financial markets, which aim to increase information for investors and ensure overall financial system soundness.
Investment Management - Financial Market and InstitutionsDr. John V. Padua
This document provides an overview of financial markets and institutions. It defines key terms like financial system, markets, institutions and regulations. It describes the main components and functions of the financial system including borrowing/lending, price determination and risk sharing. It also outlines the major types of financial institutions like commercial banks, investment funds, insurance companies and their risk-reducing roles. Finally, it discusses reasons for financial regulation including increasing information transparency and ensuring system stability.
Investment Management Financial Market and InstitutionsDr. John V. Padua
This document provides an overview of financial markets and institutions. It defines key terms like financial system, markets, institutions and regulations. It describes the main components and functions of the financial system including borrowing/lending, price determination and risk sharing. It also outlines the major types of financial institutions like commercial banks, investment funds, insurance companies and their risk-reducing roles. Finally, it discusses reasons for financial regulation including increasing information transparency and ensuring system stability.
This document discusses financial instruments, markets, and institutions. It begins by defining key terms like assets, liabilities, and financial instruments. It then explains that financial instruments are used for means of payment, storing value, and transferring risk. The document outlines the major classes and characteristics of financial instruments. It also discusses how financial markets work, their roles in providing liquidity and sharing risk. The document concludes by explaining that financial institutions issue standardized securities to reduce transaction costs and help overcome information problems in financial markets.
Main Java[All of the Base Concepts}.docxadhitya5119
This is part 1 of my Java Learning Journey. This Contains Custom methods, classes, constructors, packages, multithreading , try- catch block, finally block and more.
हिंदी वर्णमाला पीपीटी, hindi alphabet PPT presentation, hindi varnamala PPT, Hindi Varnamala pdf, हिंदी स्वर, हिंदी व्यंजन, sikhiye hindi varnmala, dr. mulla adam ali, hindi language and literature, hindi alphabet with drawing, hindi alphabet pdf, hindi varnamala for childrens, hindi language, hindi varnamala practice for kids, https://www.drmullaadamali.com
Philippine Edukasyong Pantahanan at Pangkabuhayan (EPP) CurriculumMJDuyan
(𝐓𝐋𝐄 𝟏𝟎𝟎) (𝐋𝐞𝐬𝐬𝐨𝐧 𝟏)-𝐏𝐫𝐞𝐥𝐢𝐦𝐬
𝐃𝐢𝐬𝐜𝐮𝐬𝐬 𝐭𝐡𝐞 𝐄𝐏𝐏 𝐂𝐮𝐫𝐫𝐢𝐜𝐮𝐥𝐮𝐦 𝐢𝐧 𝐭𝐡𝐞 𝐏𝐡𝐢𝐥𝐢𝐩𝐩𝐢𝐧𝐞𝐬:
- Understand the goals and objectives of the Edukasyong Pantahanan at Pangkabuhayan (EPP) curriculum, recognizing its importance in fostering practical life skills and values among students. Students will also be able to identify the key components and subjects covered, such as agriculture, home economics, industrial arts, and information and communication technology.
𝐄𝐱𝐩𝐥𝐚𝐢𝐧 𝐭𝐡𝐞 𝐍𝐚𝐭𝐮𝐫𝐞 𝐚𝐧𝐝 𝐒𝐜𝐨𝐩𝐞 𝐨𝐟 𝐚𝐧 𝐄𝐧𝐭𝐫𝐞𝐩𝐫𝐞𝐧𝐞𝐮𝐫:
-Define entrepreneurship, distinguishing it from general business activities by emphasizing its focus on innovation, risk-taking, and value creation. Students will describe the characteristics and traits of successful entrepreneurs, including their roles and responsibilities, and discuss the broader economic and social impacts of entrepreneurial activities on both local and global scales.
Chapter wise All Notes of First year Basic Civil Engineering.pptxDenish Jangid
Chapter wise All Notes of First year Basic Civil Engineering
Syllabus
Chapter-1
Introduction to objective, scope and outcome the subject
Chapter 2
Introduction: Scope and Specialization of Civil Engineering, Role of civil Engineer in Society, Impact of infrastructural development on economy of country.
Chapter 3
Surveying: Object Principles & Types of Surveying; Site Plans, Plans & Maps; Scales & Unit of different Measurements.
Linear Measurements: Instruments used. Linear Measurement by Tape, Ranging out Survey Lines and overcoming Obstructions; Measurements on sloping ground; Tape corrections, conventional symbols. Angular Measurements: Instruments used; Introduction to Compass Surveying, Bearings and Longitude & Latitude of a Line, Introduction to total station.
Levelling: Instrument used Object of levelling, Methods of levelling in brief, and Contour maps.
Chapter 4
Buildings: Selection of site for Buildings, Layout of Building Plan, Types of buildings, Plinth area, carpet area, floor space index, Introduction to building byelaws, concept of sun light & ventilation. Components of Buildings & their functions, Basic concept of R.C.C., Introduction to types of foundation
Chapter 5
Transportation: Introduction to Transportation Engineering; Traffic and Road Safety: Types and Characteristics of Various Modes of Transportation; Various Road Traffic Signs, Causes of Accidents and Road Safety Measures.
Chapter 6
Environmental Engineering: Environmental Pollution, Environmental Acts and Regulations, Functional Concepts of Ecology, Basics of Species, Biodiversity, Ecosystem, Hydrological Cycle; Chemical Cycles: Carbon, Nitrogen & Phosphorus; Energy Flow in Ecosystems.
Water Pollution: Water Quality standards, Introduction to Treatment & Disposal of Waste Water. Reuse and Saving of Water, Rain Water Harvesting. Solid Waste Management: Classification of Solid Waste, Collection, Transportation and Disposal of Solid. Recycling of Solid Waste: Energy Recovery, Sanitary Landfill, On-Site Sanitation. Air & Noise Pollution: Primary and Secondary air pollutants, Harmful effects of Air Pollution, Control of Air Pollution. . Noise Pollution Harmful Effects of noise pollution, control of noise pollution, Global warming & Climate Change, Ozone depletion, Greenhouse effect
Text Books:
1. Palancharmy, Basic Civil Engineering, McGraw Hill publishers.
2. Satheesh Gopi, Basic Civil Engineering, Pearson Publishers.
3. Ketki Rangwala Dalal, Essentials of Civil Engineering, Charotar Publishing House.
4. BCP, Surveying volume 1
Temple of Asclepius in Thrace. Excavation resultsKrassimira Luka
The temple and the sanctuary around were dedicated to Asklepios Zmidrenus. This name has been known since 1875 when an inscription dedicated to him was discovered in Rome. The inscription is dated in 227 AD and was left by soldiers originating from the city of Philippopolis (modern Plovdiv).
How to Setup Warehouse & Location in Odoo 17 InventoryCeline George
In this slide, we'll explore how to set up warehouses and locations in Odoo 17 Inventory. This will help us manage our stock effectively, track inventory levels, and streamline warehouse operations.
How to Make a Field Mandatory in Odoo 17Celine George
In Odoo, making a field required can be done through both Python code and XML views. When you set the required attribute to True in Python code, it makes the field required across all views where it's used. Conversely, when you set the required attribute in XML views, it makes the field required only in the context of that particular view.
LAND USE LAND COVER AND NDVI OF MIRZAPUR DISTRICT, UPRAHUL
This Dissertation explores the particular circumstances of Mirzapur, a region located in the
core of India. Mirzapur, with its varied terrains and abundant biodiversity, offers an optimal
environment for investigating the changes in vegetation cover dynamics. Our study utilizes
advanced technologies such as GIS (Geographic Information Systems) and Remote sensing to
analyze the transformations that have taken place over the course of a decade.
The complex relationship between human activities and the environment has been the focus
of extensive research and worry. As the global community grapples with swift urbanization,
population expansion, and economic progress, the effects on natural ecosystems are becoming
more evident. A crucial element of this impact is the alteration of vegetation cover, which plays a
significant role in maintaining the ecological equilibrium of our planet.Land serves as the foundation for all human activities and provides the necessary materials for
these activities. As the most crucial natural resource, its utilization by humans results in different
'Land uses,' which are determined by both human activities and the physical characteristics of the
land.
The utilization of land is impacted by human needs and environmental factors. In countries
like India, rapid population growth and the emphasis on extensive resource exploitation can lead
to significant land degradation, adversely affecting the region's land cover.
Therefore, human intervention has significantly influenced land use patterns over many
centuries, evolving its structure over time and space. In the present era, these changes have
accelerated due to factors such as agriculture and urbanization. Information regarding land use and
cover is essential for various planning and management tasks related to the Earth's surface,
providing crucial environmental data for scientific, resource management, policy purposes, and
diverse human activities.
Accurate understanding of land use and cover is imperative for the development planning
of any area. Consequently, a wide range of professionals, including earth system scientists, land
and water managers, and urban planners, are interested in obtaining data on land use and cover
changes, conversion trends, and other related patterns. The spatial dimensions of land use and
cover support policymakers and scientists in making well-informed decisions, as alterations in
these patterns indicate shifts in economic and social conditions. Monitoring such changes with the
help of Advanced technologies like Remote Sensing and Geographic Information Systems is
crucial for coordinated efforts across different administrative levels. Advanced technologies like
Remote Sensing and Geographic Information Systems
9
Changes in vegetation cover refer to variations in the distribution, composition, and overall
structure of plant communities across different temporal and spatial scales. These changes can
occur natural.