Financial Institutions, Instruments and Markets—7th edition Instructor’s Resource Manual Christopher Viney and Peter Phillips Chapter 1 A modern financial system Learning objective 1.1: explain the functions of a modern financial system • The introduction of money and the development of local markets to trade goods were the genesis of the financial system of today. • Money is a medium of exchange that facilitates transactions for goods and services. • With wealth being accumulated
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Financial markets and institution are life blood of any economy. DISCUSS. What are financial markets market An actual or nominal place where forces of demand and supply operate, and where buyers and sellers interact (directly or through intermediaries) to trade goods, services, or contracts or instruments, for money or barter. Markets include mechanisms or means for (1) determining price of the traded item, (2) communicating the price information, (3) facilitating deals and transactions
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A modern financial system: an overview The introduction of money and the development of local markets to trade goods were the genesis of the financial system of today. Money is a medium of exchange that facilitates transactions for goods and services. With wealth being accumulated in the form of money, specialised markets developed to enable the efficient transfer of funds from savers (surplus entities) to users of funds (deficit entities). A modern financial system comprises financial institutions
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MONEY, BANKING, AND FINANCIAL MARKETS Peter N. Ireland Department of Economics Boston College irelandp@bc.edu http://www2.bc.edu/~irelandp/ec261.html Chapter 2: An Overview of the Financial System 1. Function of Financial Markets and Financial Intermediaries 2. Structure of Financial Markets Debt and Equity Markets Primary and Secondary Markets Exchanges and Over-the-Counter Markets Money and Capital Markets 3. Financial Instruments Money Market Instruments Capital Market Instruments 4. Role
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14-1. what are financial markets? What function do they perform? How would an economy be worse off without them? Financial markets are institutions and procedures that facilitate transactions in all types of financial claims. (Financial Management: Principles and Applications) This is a mechanism that is used to facilitate the transfer of savings from those economic units with a surplus to those with a deficit. If we didn’t have financial markets people or companies couldn’t buy houses, life
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A Modern Financial System—An Overview 1-2 Learning Objectives • Explain the functions of a financial system • The main types of financial institutions • Describe the main classes of financial instruments issued in a financial system • The flow of funds between savers / borrowers • Distinguish between various types of financial markets according to function • Appreciate the importance of globalisation • Understand the effects and consequences of a financial crisis on a financial system and
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Cardema CA6-C1 What is Financial Claims? Financial claims and obligations arise out of contractual relationships between pairs of institutional units. A financial claim: (a) entitles a creditor to receive a payment, or payments, from a debtor in circumstances specified in a contract between them; or (b) specifies between the two parties certain rights or obligations, the nature of which requires them to be treated as financial What Can I Claim For? There are three
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Description In the midst of the financial crisis, Barclays (the world's 4th largest bank by assets) is forced by UK regulators to raise more capital. Should it take up the UK government's offer to invest, or take funding from investors from the Middle East? Students may price the two deals to determine which is more expensive, and must decide whether avoiding the constraints of government ownership is worth the extra cost. Learning objective: The class begins with a discussion of why, if the bank
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4/12/2012 LOGO UNIT 1 The fundamentals of financial activity Lecturer: Nguyen Thanh Nhan OUTLINE OF THE LECTURE Features and users of a financial system Advantages of using a financial system The financial system and the real economy Features and users of a financial system A financial system consists of Financial institutions Financial markets End users of the markets and institutions Regulatory authorities 1 4/12/2012 FINANCIAL INSTITUTIONS Deposit-taking institutions
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AND FINANCIAL MARKETS Peter N. Ireland Department of Economics Boston College irelandp@bc.edu http://www2.bc.edu/~irelandp/ec261.html Chapter 2: An Overview of the Financial System 1. Function of Financial Markets and Financial Intermediaries 2. Structure of Financial Markets Debt and Equity Markets Primary and Secondary Markets Exchanges and Over-the-Counter Markets Money and Capital Markets 3. Financial Instruments Money Market Instruments Capital Market Instruments 4. Role of Financial Intermediaries
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