Information about Financial Market, Indian Financial System, Indian Financial Institutions, Types of Financial Markets, Role of capital market and Role of Financial Institutions.
Financial Markets, Financial Institutions, Interest Rates. asset demand and determination of asset prices, role of information in financial markets, causes and consequences of financial crises.
The document discusses the structure of the financial system. It describes how the financial system functions as an intermediary between savers and investors, channeling funds from areas of surplus to deficit. The financial system consists of individuals, institutions, markets, and instruments. It categorizes financial institutions as banking and non-banking, and classifies financial markets based on the type, maturity, and structure of financial claims traded. Financial instruments are used to raise capital and money market funds. Financial services facilitate financial transactions and the transformation of savings into investments.
This chapter discusses why studying money, banking, and financial markets is important: to understand how financial markets work; how banks and other financial institutions operate; and the role of monetary policy. It provides an overview of key concepts like financial markets, the bond market, stock market, financial institutions, and past financial crises.
This document provides an overview of financial markets and institutions. It discusses how the household and business sectors interact and how financial intermediaries help allocate capital between savers and investors. Financial markets facilitate the transfer of savings, provide pricing information, and bring liquidity. Different types of financial markets include money markets, capital markets, primary markets, and secondary markets. The document also outlines various financial institutions like investment banks, commercial banks, and mutual funds that operate within these markets. It explains how taking out a loan from a bank creates new money in the economy beyond what is held in reserves. Finally, it briefly mentions physical and over-the-counter stock exchanges.
The document summarizes key elements of financial markets and systems, including:
1) Financial markets bring together suppliers and demanders of funds and facilitate the exchange of various financial instruments. They include money markets for short-term funds and capital markets for long-term funds.
2) Money markets trade instruments like treasury bills, commercial paper, repurchase agreements and certificates of deposit. Capital markets trade stocks and long-term bonds.
3) Financial intermediaries like banks act as a link between savers and borrowers, converting direct claims into indirect securities. Financial markets allow for direct transactions.
The document defines and describes the structure of the financial system of a country. It notes that a financial system includes interconnected institutions that mobilize monetary resources and distribute them through financing and credit. The system includes elements like the state budget, off-budget funds, financial institutions, and the finances of economic entities. It then describes the specific financial system of Russia, including its main elements like the state budget system, government loans, commercial organization finances, and financial markets. The budget is discussed as having income from taxes and non-tax sources, and expenditures in areas like social services, state apparatus, and public debt. In conclusion, the document states that the financial system plays an important role in society and is strictly controlled by the state.
This document discusses the financial environment, including financial markets and institutions. It describes financial markets as places where individuals and organizations looking to borrow funds are brought together with those having surplus funds. The markets are divided into money markets, which exchange short-term instruments under one year, and capital markets, which exchange long-term securities over one year. Primary markets are where new securities are issued, while secondary markets allow existing securities to be traded. The document also outlines various financial institutions that transfer funds between lenders and borrowers, such as commercial banks, credit unions, and mutual funds.
The capital market provides long-term financing for investments, while the money market provides short-term financing for working capital. The capital market mobilizes resources for both fixed and working capital through lending and acts as an intermediary between investors and entrepreneurs, including through underwriting. In contrast, the money market facilitates short-term adjustments to liquidity positions through lending and borrowing and does not include stock exchanges or underwriting to the same extent. Both markets are related as institutions participate in both.
Financial Markets, Financial Institutions, Interest Rates. asset demand and determination of asset prices, role of information in financial markets, causes and consequences of financial crises.
The document discusses the structure of the financial system. It describes how the financial system functions as an intermediary between savers and investors, channeling funds from areas of surplus to deficit. The financial system consists of individuals, institutions, markets, and instruments. It categorizes financial institutions as banking and non-banking, and classifies financial markets based on the type, maturity, and structure of financial claims traded. Financial instruments are used to raise capital and money market funds. Financial services facilitate financial transactions and the transformation of savings into investments.
This chapter discusses why studying money, banking, and financial markets is important: to understand how financial markets work; how banks and other financial institutions operate; and the role of monetary policy. It provides an overview of key concepts like financial markets, the bond market, stock market, financial institutions, and past financial crises.
This document provides an overview of financial markets and institutions. It discusses how the household and business sectors interact and how financial intermediaries help allocate capital between savers and investors. Financial markets facilitate the transfer of savings, provide pricing information, and bring liquidity. Different types of financial markets include money markets, capital markets, primary markets, and secondary markets. The document also outlines various financial institutions like investment banks, commercial banks, and mutual funds that operate within these markets. It explains how taking out a loan from a bank creates new money in the economy beyond what is held in reserves. Finally, it briefly mentions physical and over-the-counter stock exchanges.
The document summarizes key elements of financial markets and systems, including:
1) Financial markets bring together suppliers and demanders of funds and facilitate the exchange of various financial instruments. They include money markets for short-term funds and capital markets for long-term funds.
2) Money markets trade instruments like treasury bills, commercial paper, repurchase agreements and certificates of deposit. Capital markets trade stocks and long-term bonds.
3) Financial intermediaries like banks act as a link between savers and borrowers, converting direct claims into indirect securities. Financial markets allow for direct transactions.
The document defines and describes the structure of the financial system of a country. It notes that a financial system includes interconnected institutions that mobilize monetary resources and distribute them through financing and credit. The system includes elements like the state budget, off-budget funds, financial institutions, and the finances of economic entities. It then describes the specific financial system of Russia, including its main elements like the state budget system, government loans, commercial organization finances, and financial markets. The budget is discussed as having income from taxes and non-tax sources, and expenditures in areas like social services, state apparatus, and public debt. In conclusion, the document states that the financial system plays an important role in society and is strictly controlled by the state.
This document discusses the financial environment, including financial markets and institutions. It describes financial markets as places where individuals and organizations looking to borrow funds are brought together with those having surplus funds. The markets are divided into money markets, which exchange short-term instruments under one year, and capital markets, which exchange long-term securities over one year. Primary markets are where new securities are issued, while secondary markets allow existing securities to be traded. The document also outlines various financial institutions that transfer funds between lenders and borrowers, such as commercial banks, credit unions, and mutual funds.
The capital market provides long-term financing for investments, while the money market provides short-term financing for working capital. The capital market mobilizes resources for both fixed and working capital through lending and acts as an intermediary between investors and entrepreneurs, including through underwriting. In contrast, the money market facilitates short-term adjustments to liquidity positions through lending and borrowing and does not include stock exchanges or underwriting to the same extent. Both markets are related as institutions participate in both.
The document discusses various segments of the international financial market (IFM). The IFM allows buyers and sellers to trade financial assets across borders, motivated by factors like interest rate differences and economic growth prospects. The key segments discussed are the foreign exchange market, international bonds market, international equity market, international money market, and international credit market. The foreign exchange market, being the largest financial market globally, facilitates international trade and transactions through currency conversion. It involves spot rates, forward rates, and participants like importers/exporters. The international bonds market includes foreign and euro bonds that allow companies to raise long-term funds in foreign currencies.
This document provides an overview of different types of financial markets, including capital markets, money markets, commodity markets, insurance markets, derivatives markets, and foreign exchange markets. It discusses what each market involves, common instruments traded in each market, and key functions. For example, it notes that a capital market deals in stocks, bonds and other long-term investments, channeling funds from savers to long-term investors. A money market involves short-term debt instruments for meeting short-term funding needs.
A financial market allows people and entities to trade financial securities, commodities, and other assets at low cost. It sets prices through supply and demand. The money market involves short-term borrowing and lending of up to one year for assets like treasury bills and certificates of deposit. The capital market provides long-term funding for companies and governments through securities like stocks and bonds, with funds provided for over one year. Both markets help balance short-term surpluses and deficits while giving access to funds.
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.
Financial system and markets:
objectives of financial system-
Concepts of financial system-
Financial concepts-
Development of financial systems in India-
Weakness of Indian financial system
This document provides an overview of finance and financial markets. It defines finance as the study of allocating scarce resources over time in an environment of uncertainty. The financial system allows for the transfer of funds from surplus units like savers to deficit units like businesses through markets and intermediaries. Well-functioning financial markets are important for economic growth by facilitating the flow of capital from investors to users of capital. The document describes different types of financial markets including money markets, capital markets, primary and secondary markets, spot and forward markets, and derivatives markets.
The document is a research report on the Indian financial system submitted for a Business Finance course. It discusses the key components of the Indian financial system including financial institutions, markets, instruments and services. It provides details on various types of banking and non-banking financial institutions, organized and unorganized financial markets, cash and derivative financial instruments, and fund-based and fee-based financial services. The report concludes that a well-developed financial system is important for economic growth in India and there is a need for effective management and regulation among different parts of the system.
The document discusses various aspects of financial markets, including the money market. It describes the money market as a mechanism for lending and borrowing short-term funds that facilitates many financial transactions. It has two components: the call money market for overnight lending between banks, and the bill market introduced by the RBI to reduce reliance on cash credit. Major money market instruments discussed include treasury bills, certificates of deposit, commercial papers, and commercial bills.
Financial markets allow people and entities to trade securities, commodities, and other assets. They serve several functions including raising capital, transferring risk, facilitating price discovery and global transactions, and transferring liquidity. There are several types of financial markets including capital markets for stocks and bonds, commodity markets, money markets for short-term debt, derivatives markets for managing risk, futures markets for forward contracts, insurance markets, and foreign exchange markets. Within capital markets, primary markets involve new security issuances while secondary markets allow trading of existing securities. Money markets specifically involve short-term borrowing, lending, buying and selling of assets with original maturities of one year or less. Common money market instruments include certificates of deposit, commercial paper, and treas
The document discusses the structure and key components of India's financial system. It outlines the main financial institutions, instruments, and markets. It also describes the key functions of a financial system in facilitating resource transfer, transactions, and risk management across sectors. Several regulatory bodies that oversee different aspects of the financial system are mentioned, including RBI, SEBI, and IRDAI. Their main roles are described as protective, developmental, and regulatory. Key financial markets like money market, capital market, and forex market are defined. Depositories like NSDL and CDSL and their role in facilitating electronic holding and transactions of securities are summarized. The primary and secondary markets are distinguished, with stock exchanges providing a platform for trading but
Money Market and its objectives, importance its Instruments, Zain Ali
The money market is where short-term financial assets are traded, with maturities of one year or less. It involves the buying and selling of debt instruments between banks, corporations, governments and other financial institutions. Key instruments of the money market include treasury bills, commercial paper, certificates of deposit and floating rate notes. The money market operates through various submarkets and provides short-term funding for participants to meet liquidity needs and manage surplus funds.
The document provides an introduction to the financial system, outlining its six main parts: money, financial instruments, financial markets, financial institutions, regulatory agencies, and central banks. It describes how each part functions within the system. It also outlines five core principles that underlie the financial system: time has value, risk requires compensation, information is the basis for decisions, markets determine prices and allocate resources, and stability improves welfare. Finally, it lists some key functions performed by the global financial system, including providing savings mechanisms, storing wealth, providing liquidity, enabling credit, facilitating payments, managing risks, and allowing governments to influence the economy.
This document provides an overview of financial markets. It discusses what finance is, the components of the financial system like markets and intermediaries, and how capital is transferred from savers to borrowers through direct markets and intermediaries. It also describes the importance of well-functioning financial markets for economic growth. Finally, it outlines the main types of financial markets like money markets, capital markets, primary and secondary markets, spot and derivatives markets.
Introduction To Financial Institutions And Marketsitsvineeth209
This document provides an introduction to financial institutions and markets. It discusses the key components of the financial system including money, credit, services and finance. It also outlines the main functions of financial institutions such as collecting funds from investors and directing them to providers. The document categorizes common financial institutions and describes financial markets as places where financial assets are traded. It defines various financial instruments and how they are categorized as cash instruments or derivatives.
This document provides an overview of financial markets and institutions. It discusses the role and functions of financial markets in facilitating the transfer of funds from surplus units to deficit units. It also describes different types of financial markets, securities traded in these markets such as money market securities, bonds, stocks and derivatives. Finally, it examines the roles of various financial institutions like commercial banks, savings institutions, mutual funds, securities firms, insurance companies and pension funds in financial markets. It also discusses competition and consolidation trends in the financial industry.
The document compares and contrasts money markets and capital markets. Money markets deal in short term instruments of up to one year, such as bills and commercial paper, to fulfill short term credit needs. They involve banks and have high liquidity and low risk. Capital markets deal in long term instruments like stocks and bonds, to fulfill long term credit needs. They have lower liquidity, higher risk, and higher potential returns due to longer maturity periods.
A financial system is a system that allows the exchange of funds between lenders, investors, and borrowers. Financial systems operate at national, global, and firm-specific levels.They consist of complex, closely related services, markets, and institutions intended to provide an efficient and regular linkage between investors and depositors.
The document discusses key elements of international financial systems including:
1) It defines international finance and discusses topics like exchange rates and foreign direct investment.
2) The global financial system consists of institutions that operate internationally, as opposed to nationally or regionally, and includes organizations like the IMF and central banks.
3) Core elements of any financial system include money, banking institutions, financial markets, instruments, and services.
Financial markets allow for the exchange of funds between those who have savings (surplus units) and those who need funds for investment in real assets (deficit units). They do this through financial instruments that represent claims against issuers. There are two main types of financial markets - the money market for short-term instruments and the capital market for long-term debt and equity. Within each market, primary markets facilitate new issues while secondary markets allow for the exchange of existing securities. Financial intermediaries such as banks, insurance companies, and pension funds facilitate indirect finance by collecting funds through various financial claims and allocating them through purchases of direct claims.
The document provides an overview of financial markets and systems. It discusses key components like money markets, capital markets, primary markets, and secondary markets. The summary is:
Financial markets and systems facilitate the transfer of economic resources and allow individuals and organizations to raise capital. They include money markets for short-term lending and capital markets for long-term financing. Within capital markets, companies can issue new securities through primary markets to raise funds, while existing securities are traded on secondary markets. These markets and the instruments they provide, such as stocks and bonds, are essential for economic growth and development.
The document defines financial markets as places where those wanting to borrow money are brought together with those having surplus funds. It discusses the location and objectives of financial markets such as mobilizing savings, investment, entrepreneurial growth and national growth. The key functions of financial markets are intermediary functions like facilitating resource transfer, enhancing income and ensuring productive usage of funds as well as financial functions like provision of funds and earning assets. Money markets deal in short term funds and financial assets with maturity up to one year, while capital markets facilitate borrowing and lending of long term funds.
The document discusses various segments of the international financial market (IFM). The IFM allows buyers and sellers to trade financial assets across borders, motivated by factors like interest rate differences and economic growth prospects. The key segments discussed are the foreign exchange market, international bonds market, international equity market, international money market, and international credit market. The foreign exchange market, being the largest financial market globally, facilitates international trade and transactions through currency conversion. It involves spot rates, forward rates, and participants like importers/exporters. The international bonds market includes foreign and euro bonds that allow companies to raise long-term funds in foreign currencies.
This document provides an overview of different types of financial markets, including capital markets, money markets, commodity markets, insurance markets, derivatives markets, and foreign exchange markets. It discusses what each market involves, common instruments traded in each market, and key functions. For example, it notes that a capital market deals in stocks, bonds and other long-term investments, channeling funds from savers to long-term investors. A money market involves short-term debt instruments for meeting short-term funding needs.
A financial market allows people and entities to trade financial securities, commodities, and other assets at low cost. It sets prices through supply and demand. The money market involves short-term borrowing and lending of up to one year for assets like treasury bills and certificates of deposit. The capital market provides long-term funding for companies and governments through securities like stocks and bonds, with funds provided for over one year. Both markets help balance short-term surpluses and deficits while giving access to funds.
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.
Financial system and markets:
objectives of financial system-
Concepts of financial system-
Financial concepts-
Development of financial systems in India-
Weakness of Indian financial system
This document provides an overview of finance and financial markets. It defines finance as the study of allocating scarce resources over time in an environment of uncertainty. The financial system allows for the transfer of funds from surplus units like savers to deficit units like businesses through markets and intermediaries. Well-functioning financial markets are important for economic growth by facilitating the flow of capital from investors to users of capital. The document describes different types of financial markets including money markets, capital markets, primary and secondary markets, spot and forward markets, and derivatives markets.
The document is a research report on the Indian financial system submitted for a Business Finance course. It discusses the key components of the Indian financial system including financial institutions, markets, instruments and services. It provides details on various types of banking and non-banking financial institutions, organized and unorganized financial markets, cash and derivative financial instruments, and fund-based and fee-based financial services. The report concludes that a well-developed financial system is important for economic growth in India and there is a need for effective management and regulation among different parts of the system.
The document discusses various aspects of financial markets, including the money market. It describes the money market as a mechanism for lending and borrowing short-term funds that facilitates many financial transactions. It has two components: the call money market for overnight lending between banks, and the bill market introduced by the RBI to reduce reliance on cash credit. Major money market instruments discussed include treasury bills, certificates of deposit, commercial papers, and commercial bills.
Financial markets allow people and entities to trade securities, commodities, and other assets. They serve several functions including raising capital, transferring risk, facilitating price discovery and global transactions, and transferring liquidity. There are several types of financial markets including capital markets for stocks and bonds, commodity markets, money markets for short-term debt, derivatives markets for managing risk, futures markets for forward contracts, insurance markets, and foreign exchange markets. Within capital markets, primary markets involve new security issuances while secondary markets allow trading of existing securities. Money markets specifically involve short-term borrowing, lending, buying and selling of assets with original maturities of one year or less. Common money market instruments include certificates of deposit, commercial paper, and treas
The document discusses the structure and key components of India's financial system. It outlines the main financial institutions, instruments, and markets. It also describes the key functions of a financial system in facilitating resource transfer, transactions, and risk management across sectors. Several regulatory bodies that oversee different aspects of the financial system are mentioned, including RBI, SEBI, and IRDAI. Their main roles are described as protective, developmental, and regulatory. Key financial markets like money market, capital market, and forex market are defined. Depositories like NSDL and CDSL and their role in facilitating electronic holding and transactions of securities are summarized. The primary and secondary markets are distinguished, with stock exchanges providing a platform for trading but
Money Market and its objectives, importance its Instruments, Zain Ali
The money market is where short-term financial assets are traded, with maturities of one year or less. It involves the buying and selling of debt instruments between banks, corporations, governments and other financial institutions. Key instruments of the money market include treasury bills, commercial paper, certificates of deposit and floating rate notes. The money market operates through various submarkets and provides short-term funding for participants to meet liquidity needs and manage surplus funds.
The document provides an introduction to the financial system, outlining its six main parts: money, financial instruments, financial markets, financial institutions, regulatory agencies, and central banks. It describes how each part functions within the system. It also outlines five core principles that underlie the financial system: time has value, risk requires compensation, information is the basis for decisions, markets determine prices and allocate resources, and stability improves welfare. Finally, it lists some key functions performed by the global financial system, including providing savings mechanisms, storing wealth, providing liquidity, enabling credit, facilitating payments, managing risks, and allowing governments to influence the economy.
This document provides an overview of financial markets. It discusses what finance is, the components of the financial system like markets and intermediaries, and how capital is transferred from savers to borrowers through direct markets and intermediaries. It also describes the importance of well-functioning financial markets for economic growth. Finally, it outlines the main types of financial markets like money markets, capital markets, primary and secondary markets, spot and derivatives markets.
Introduction To Financial Institutions And Marketsitsvineeth209
This document provides an introduction to financial institutions and markets. It discusses the key components of the financial system including money, credit, services and finance. It also outlines the main functions of financial institutions such as collecting funds from investors and directing them to providers. The document categorizes common financial institutions and describes financial markets as places where financial assets are traded. It defines various financial instruments and how they are categorized as cash instruments or derivatives.
This document provides an overview of financial markets and institutions. It discusses the role and functions of financial markets in facilitating the transfer of funds from surplus units to deficit units. It also describes different types of financial markets, securities traded in these markets such as money market securities, bonds, stocks and derivatives. Finally, it examines the roles of various financial institutions like commercial banks, savings institutions, mutual funds, securities firms, insurance companies and pension funds in financial markets. It also discusses competition and consolidation trends in the financial industry.
The document compares and contrasts money markets and capital markets. Money markets deal in short term instruments of up to one year, such as bills and commercial paper, to fulfill short term credit needs. They involve banks and have high liquidity and low risk. Capital markets deal in long term instruments like stocks and bonds, to fulfill long term credit needs. They have lower liquidity, higher risk, and higher potential returns due to longer maturity periods.
A financial system is a system that allows the exchange of funds between lenders, investors, and borrowers. Financial systems operate at national, global, and firm-specific levels.They consist of complex, closely related services, markets, and institutions intended to provide an efficient and regular linkage between investors and depositors.
The document discusses key elements of international financial systems including:
1) It defines international finance and discusses topics like exchange rates and foreign direct investment.
2) The global financial system consists of institutions that operate internationally, as opposed to nationally or regionally, and includes organizations like the IMF and central banks.
3) Core elements of any financial system include money, banking institutions, financial markets, instruments, and services.
Financial markets allow for the exchange of funds between those who have savings (surplus units) and those who need funds for investment in real assets (deficit units). They do this through financial instruments that represent claims against issuers. There are two main types of financial markets - the money market for short-term instruments and the capital market for long-term debt and equity. Within each market, primary markets facilitate new issues while secondary markets allow for the exchange of existing securities. Financial intermediaries such as banks, insurance companies, and pension funds facilitate indirect finance by collecting funds through various financial claims and allocating them through purchases of direct claims.
The document provides an overview of financial markets and systems. It discusses key components like money markets, capital markets, primary markets, and secondary markets. The summary is:
Financial markets and systems facilitate the transfer of economic resources and allow individuals and organizations to raise capital. They include money markets for short-term lending and capital markets for long-term financing. Within capital markets, companies can issue new securities through primary markets to raise funds, while existing securities are traded on secondary markets. These markets and the instruments they provide, such as stocks and bonds, are essential for economic growth and development.
The document defines financial markets as places where those wanting to borrow money are brought together with those having surplus funds. It discusses the location and objectives of financial markets such as mobilizing savings, investment, entrepreneurial growth and national growth. The key functions of financial markets are intermediary functions like facilitating resource transfer, enhancing income and ensuring productive usage of funds as well as financial functions like provision of funds and earning assets. Money markets deal in short term funds and financial assets with maturity up to one year, while capital markets facilitate borrowing and lending of long term funds.
Financial markets and institutions notes as per BPUT syllabus for MBA 4th Venkat Kothakota
The document provides an overview of financial markets and their components. It can be summarized as follows:
1. Financial markets facilitate the buying and selling of financial assets and instruments. They consist of agents, brokers, institutions and intermediaries that transact purchases and sales.
2. Financial markets are classified as money markets, which deal in short-term assets up to 1 year, and capital markets, which deal in long-term assets over 1 year. Money markets include markets for treasury bills, commercial paper, certificates of deposit and call loans.
3. Capital markets include stock markets, government securities markets, and bond markets. Stock markets have primary markets for new stock issues and secondary markets for existing stocks.
The document provides an overview of money markets and capital markets. The money market deals with short-term lending of less than one year, such as treasury bills, commercial bills, certificates of deposit, and repurchase agreements. It also discusses the characteristics of a developed money market. The capital market allows for long-term investment through instruments like bonds and equities. It distinguishes between the primary market, where new securities are issued, and the secondary market, where previously issued securities are traded on a stock exchange, creating liquidity.
The document discusses various aspects of financial markets including money markets, capital markets, commodity markets, and their key components. It defines a financial market as a mechanism that allows people to trade financial securities, commodities, and other assets at low costs. Key segments of the financial market discussed include the money market, which involves short-term borrowing and lending; the capital market, which includes the stock and bond markets for raising long-term funds; and the commodity market, where agricultural and precious metals are traded. Participants in these markets include banks, corporations, investors, and traders.
Financial markets allow funds to flow between those with a surplus and those with a deficit. They improve economic efficiency by connecting individuals and organizations wanting to borrow funds with those having funds available. There are several types of financial markets including capital markets, money markets, foreign exchange markets, and derivatives markets. These markets are regulated by different entities like RBI, SEBI, IRDA, and FMC. The capital market consists of the primary market for new share/bond issues and the secondary market for subsequent trading of existing securities.
This document discusses primary and secondary markets. The primary market involves the initial sale of securities to raise capital, such as through initial public offerings. It occurs before the secondary market and has no single location. The secondary market allows existing securities to be traded, creating liquidity. It occurs through stock exchanges and enables prices to be established and investors to buy and sell securities they already hold. Both markets play important roles in capital formation and resource allocation.
Financial institutions and markets notes as per BPUT syllabus for MBA 2nd sem...Venkat Kothakota
The document provides information on the Indian financial market and its various components. It discusses the money market and capital market as the two main organized financial markets in India. The money market is further divided into unorganized and organized segments. The unorganized segment includes money lenders, indigenous bankers, and chit funds. The organized money market comprises treasury bills, commercial paper, certificates of deposit, the call money market, and the commercial bill market. The capital market provides long-term finance and consists of the industrial securities market, government securities market, and long-term loans market.
The primary market involves the initial sale of securities to investors, allowing companies to raise capital directly. It has no single location and uses various methods like public issues and private placements. The secondary market involves subsequent trading of existing securities between investors through stock exchanges. It provides liquidity for securities and encourages new investment in companies. Some key differences are that the primary market deals with new issues while the secondary market trades existing securities in a centralized location like an exchange.
The document provides an overview of financial markets, including the capital market and money market. It discusses the relationship between lenders and borrowers in financial markets and how various financial instruments are traded. The capital market deals with longer term financial instruments like stocks, bonds, and debentures, while the money market involves short term debt instruments with original maturities of one year or less, such as treasury bills, commercial paper, and certificates of deposit. Both markets play important roles in mobilizing savings, facilitating capital formation and economic growth.
The document provides an overview of financial markets, including the money market and capital market. It discusses the relationship between lenders and borrowers in financial markets and how various financial instruments are traded. The capital market deals with longer term financial instruments like stocks and bonds, while the money market focuses on short term debt instruments with original maturities of one year or less, such as treasury bills, commercial paper, and certificates of deposit. Both markets play an important role in raising capital and facilitating transactions.
The document discusses primary and secondary markets. The primary market involves the initial sale of securities to raise capital for businesses and governments. It has no fixed location and uses methods like public issues, rights issues, and private placements. The secondary market allows for the subsequent trading of previously issued securities through stock exchanges. It provides liquidity, ensures fair prices are discovered, and brings buyers and sellers together on an ongoing basis.
The document provides information about capital markets, including definitions, key terms, and reforms. It can be summarized as follows:
1) A capital market is a financial market where buyers and sellers trade long-term debt instruments (bonds) and equity-backed securities (stocks). It links those who have capital (surplus units) with those who need capital (deficit units).
2) Key segments of the Indian capital market include the government securities market, industrial securities market, development financial institutions, and financial intermediaries. SEBI regulates the capital market and its various functions include mobilizing savings, facilitating investment, and enabling capital formation.
3) Reforms to the Indian capital market established SEBI as the
This presentation is about Indian Financial System. It includes introduction about financial system and then it includes classification of financial market.
The document discusses the different types of financial markets including capital markets, commodity markets, money markets, derivatives markets, insurance markets, foreign exchange markets, and government securities markets. It provides details on the key segments within capital markets such as stock markets and bond markets. It also discusses the regulatory bodies that govern the different financial markets in India.
This document provides an overview of the Indian financial system. It discusses the key components of a financial system including financial assets, institutions, and markets. It describes the major financial institutions in India such as banks, mutual funds, and insurance companies. It also outlines various money market instruments like treasury bills, commercial paper, certificates of deposit. The functions and types of financial markets like money market, capital market, and derivatives market are summarized as well. Overall, the document presents a high-level introduction to the structure and components of India's financial system.
The document discusses securities markets and the types of securities traded within those markets. It defines what a security is and outlines the main types: equity securities (stocks), debt securities (bonds), and derivatives. It then discusses primary and secondary markets, how new securities are issued in the primary market and previously issued securities are traded in the secondary market. The roles of security markets are also summarized as providing liquidity, facilitating capital formation and business ownership, and price discovery. Reforms to India's security markets are highlighted such as the establishment of regulatory bodies and growth of electronic trading.
This document summarizes key concepts from a lecture on the financial system. It discusses the structure and components of financial markets, including money markets, capital markets, primary and secondary markets, and different types of financial instruments. It also explains the role of financial intermediaries in facilitating indirect finance and reducing transaction costs. Finally, it covers problems that can arise in financial transactions due to asymmetric information, such as adverse selection and moral hazard.
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Independent Study - College of Wooster Research (2023-2024) FDI, Culture, Glo...AntoniaOwensDetwiler
"Does Foreign Direct Investment Negatively Affect Preservation of Culture in the Global South? Case Studies in Thailand and Cambodia."
Do elements of globalization, such as Foreign Direct Investment (FDI), negatively affect the ability of countries in the Global South to preserve their culture? This research aims to answer this question by employing a cross-sectional comparative case study analysis utilizing methods of difference. Thailand and Cambodia are compared as they are in the same region and have a similar culture. The metric of difference between Thailand and Cambodia is their ability to preserve their culture. This ability is operationalized by their respective attitudes towards FDI; Thailand imposes stringent regulations and limitations on FDI while Cambodia does not hesitate to accept most FDI and imposes fewer limitations. The evidence from this study suggests that FDI from globally influential countries with high gross domestic products (GDPs) (e.g. China, U.S.) challenges the ability of countries with lower GDPs (e.g. Cambodia) to protect their culture. Furthermore, the ability, or lack thereof, of the receiving countries to protect their culture is amplified by the existence and implementation of restrictive FDI policies imposed by their governments.
My study abroad in Bali, Indonesia, inspired this research topic as I noticed how globalization is changing the culture of its people. I learned their language and way of life which helped me understand the beauty and importance of cultural preservation. I believe we could all benefit from learning new perspectives as they could help us ideate solutions to contemporary issues and empathize with others.
Understanding how timely GST payments influence a lender's decision to approve loans, this topic explores the correlation between GST compliance and creditworthiness. It highlights how consistent GST payments can enhance a business's financial credibility, potentially leading to higher chances of loan approval.
"Does Foreign Direct Investment Negatively Affect Preservation of Culture in the Global South? Case Studies in Thailand and Cambodia."
Do elements of globalization, such as Foreign Direct Investment (FDI), negatively affect the ability of countries in the Global South to preserve their culture? This research aims to answer this question by employing a cross-sectional comparative case study analysis utilizing methods of difference. Thailand and Cambodia are compared as they are in the same region and have a similar culture. The metric of difference between Thailand and Cambodia is their ability to preserve their culture. This ability is operationalized by their respective attitudes towards FDI; Thailand imposes stringent regulations and limitations on FDI while Cambodia does not hesitate to accept most FDI and imposes fewer limitations. The evidence from this study suggests that FDI from globally influential countries with high gross domestic products (GDPs) (e.g. China, U.S.) challenges the ability of countries with lower GDPs (e.g. Cambodia) to protect their culture. Furthermore, the ability, or lack thereof, of the receiving countries to protect their culture is amplified by the existence and implementation of restrictive FDI policies imposed by their governments.
My study abroad in Bali, Indonesia, inspired this research topic as I noticed how globalization is changing the culture of its people. I learned their language and way of life which helped me understand the beauty and importance of cultural preservation. I believe we could all benefit from learning new perspectives as they could help us ideate solutions to contemporary issues and empathize with others.
OJP data from firms like Vicinity Jobs have emerged as a complement to traditional sources of labour demand data, such as the Job Vacancy and Wages Survey (JVWS). Ibrahim Abuallail, PhD Candidate, University of Ottawa, presented research relating to bias in OJPs and a proposed approach to effectively adjust OJP data to complement existing official data (such as from the JVWS) and improve the measurement of labour demand.
5 Tips for Creating Standard Financial ReportsEasyReports
Well-crafted financial reports serve as vital tools for decision-making and transparency within an organization. By following the undermentioned tips, you can create standardized financial reports that effectively communicate your company's financial health and performance to stakeholders.
How Does CRISIL Evaluate Lenders in India for Credit RatingsShaheen Kumar
CRISIL evaluates lenders in India by analyzing financial performance, loan portfolio quality, risk management practices, capital adequacy, market position, and adherence to regulatory requirements. This comprehensive assessment ensures a thorough evaluation of creditworthiness and financial strength. Each criterion is meticulously examined to provide credible and reliable ratings.
3. FINANCIAL MARKETS
A financial market is a market in which people trade financial securities, commodities and other fungible items of value
at low transaction costs and at prices that reflect supply and demand. Securities include stocks and bonds and
commodities include precious metals or agricultural products.
4. Money Market
The money market is a segment of the financial market in which financial instruments with high liquidity and very
short maturities are traded. The money market is used by participants as a means for borrowing and lending in the
short term, from several days to just under a year.
Investment in money market is done throughout money market instruments. Money market instrument meets short
term necessities of the borrowers and provides liquidity to the lenders. Money Market Instruments are as follows :
1)Treasury Bills 2)Repurchase Agreements 3)Commercial Papers 4)Certificate of Deposit 5)Banker’s Acceptance
Capital Markets
A capital market is one in which individuals and institutions trade financial securities. Organizations and institutions
in the public and private sectors also often sell securities on the capital markets in order to raise funds. Capital Market
can be divided into Bond Market and Stock Market. In Bond Market, buying and selling of newly issued and existing
bonds takes place. In Stock Market, exchange of newly issued and existing shares or stocks is carried out.
Derivatives market
The derivatives market is the financial market for derivatives, financial instruments like futures contracts or options,
which are derived from other forms of assets. The market can be divided into two, that for exchange-traded
derivatives and that for over-the-counter derivatives.
Types of Derivative Instruments:
1) Forward Contracts 2) Future Contracts 3) Options Contracts 4) Swaps
5. 1. Mobilization of Savings : Capital market is an important source for mobilizing idle savings from the
economy. It mobilizes funds from people for further investments in the productive channels of an economy.
2. Capital Formation : Capital market helps in capital formation. Capital formation is net addition to the
existing stock of capital in the economy.
3. Provision of Investment Avenue : Capital market raises resources for longer periods of time. Thus it
provides an investment avenue for people who wish to invest resources for a long period of time.
4. Speed up Economic Growth and Development : Capital market enhances production and productivity in
the national economy by generation of employment and development of infrastructure.
5. Service Provision : As an important financial set up capital market provides various types of services. It
includes long term and medium term loans to industry, underwriting services, consultancy services, export
finance, etc. These services help the manufacturing sector in a large spectrum.
6. 1.Allows
transfers of
funds from
person or
business
without
investment
opportunitie
s to one who
has them
2.Improves
economic
efficiency
Function of Financial Markets
7. A financial institution is an establishment that conducts financial transactions such as investments, loans and
deposits.Almost everyone deals with financial institutions on a regular basis. Everything from depositing money to
taking out loans and exchanging currencies must be done through financial institutions.
Banking: creators and purveyors of credit.
Types
Commercial Banks
Cooperative Banks
Non-banking: purveyors of credit
Types
Developmental financial institutions
Mutual funds
Insurance companies
NBFCs
Types of Financial Institutions