Nobody downloaded yet

Financial Markets - Assignment Example

Comments (0) Cite this document
Summary
In economics, the market can be typically defined as an aggregate of possible buyers as well as sellers of a given good or service as well as the transaction between these two parties. The financial market can be termed as a market where entities, as well as people, can the…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER97% of users find it useful
Financial Markets
Read TextPreview

Extract of sample "Financial Markets"

Download file to see previous pages oney markets which entail bond markets and stock markets, money markets, commodity markets, insurance markets among others (Bhole & Mahakud 2009, p.2). The financial market is crucial for the success of the businesses encompassed in a given economy. Every business utilizes specific financial instruments in their operations. The document below analyzes 1 PM PLC, a British company on the basis of its financial aspects.
Numerous financial markets have cropped up in the modern world of business. The financial instruments that are in existence in the common modern markets can be broadly classified into equity and debt based financial instruments. The debt-based financial instruments represent loans made by a given investor to the asset’s owner. In others words, it entails the businesses borrowing money from financial institutions. It has some benefits to the investors as well as disadvantages. The most significant benefit of the debt based financial instruments is that unlike the equity-based financial instruments, the entrepreneur retains the sole control of the enterprise (Howells & Bain 2007, p.5). This implies that the investors will be entitled to share profits and also have the say run the business towards their direction of choice. When the entrepreneur is need of the cash, acquiring the cash do not seem a problem. However, it can sometimes lead to conflict somewhere along the way since it has to be repaid as per the laid down terms and conditions.
Foreign exchange is another type of financial instrument being utilized in the modern business. However, this has limitation to the businesses which transact businesses internationally. The most prominent financial instrument in the world today is the equity market or the stock market. Most of the companies and enterprises are making use of this market to serve their financial needs. It can be defined as an aggregation of buyers as well as sellers of stocks also termed as shares (Bhole & Mahakud 2009, p.3). They ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Financial Markets Assignment Example | Topics and Well Written Essays - 1000 words”, n.d.)
Financial Markets Assignment Example | Topics and Well Written Essays - 1000 words. Retrieved from https://studentshare.org/finance-accounting/1696634-financial-markets
(Financial Markets Assignment Example | Topics and Well Written Essays - 1000 Words)
Financial Markets Assignment Example | Topics and Well Written Essays - 1000 Words. https://studentshare.org/finance-accounting/1696634-financial-markets.
“Financial Markets Assignment Example | Topics and Well Written Essays - 1000 Words”, n.d. https://studentshare.org/finance-accounting/1696634-financial-markets.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Financial Markets

Financial Markets

...? Financial Markets Stock Track Table of Contents This paper discusses about Stocktrack portfolio. Different bonds, shares, options, mutual funds were invested and the result is being discussed. (Lessons learnt from 25 years of trading) Introduction $1,000,000 were invested in different stocks ranging from Bonds, shares, options, mutual funds, ETFs and Futures. Investment was made from January, 2011 to April, 2011.I have to invest these amounts through stocktrack.com which is a simulation website for investment in stock exchanges. (Anon., n.d.) After performing analysis of different stocks I have identified the following: 1. Best performing investments during that period 2. Worst performing investments...
3 Pages(750 words)Assignment

Financial Markets and Institutions

...? Financial Markets and s Table of Contents Introduction 3 Foreign Exchange Market 3 Types of Transaction and their benefits 3 Factors Affecting Interest Rates 4 Forecasting Interest Rate Changes 5 Role of Federal Reserve 6 Recent Monetary Policy 6 Bond Markets Strategy 7 Conclusion 7 Reference 8 8 Introduction The financial markets of United States (U.S.) consist of different markets for diverse products which are offered on a range of trading platforms and exchanges. Among the different product traded are equities, fixed income securities, derivatives and foreign exchange. This paper will focus on the foreign exchange market in the U.S. and the types of foreign exchange transactions. It will also focus on the factors affecting... ...
5 Pages(1250 words)Essay

Financial Markets

...? FINANCIAL MARKETS FINANCIAL MARKETS Financial markets are critical areas of money exchanges that guide financial directors and shareholders in making decisions. It is clear that the financial directors and shareholders can make critical economic decisions within the large and a complicated financial environment. Financial directors make decisions in such environments like the financial markets, financial institutions, taxation and legal instruments as well as the nature of the region's economy. In addition to that, the financial atmosphere both determines the existing monetary substitutes and the influences that come out from many decisions. Therefore, it is considerably important that shareholders and financial directors have... an...
6 Pages(1500 words)Assignment

Financial markets

...? FINANCIAL MARKETS Table of Contents Table of Contents 2 2 Answer a) 3 (i) 4 (ii) 4 (iii) 6 Reference 7 7 Answer a) Preparation of a balanced portfolio using broad market index funds is one of the most effective and simplest ways to prosper and diversify over the long term. The main underlying objective of an asset manager in offering a balanced portfolio to his clients is to increase the return from the investment made by the investor when all the elements of a portfolio is providing same risk or is to select a portfolio which would yield minimum risk when the return generated from the portfolio is constant. An asset manager while creating a portfolio diversifies the total investment...
3 Pages(750 words)Coursework

International Financial Markets

...? International Financial Markets Contents Contents 2 Introduction 2 Discussion 3 Financial System Structure 3 Financial markets and their economic importance 4 Importance of Bond Market 6 Importance of Equity Market 8 Importance of Foreign Exchange Market 10 Importance of Derivatives Market 11 Conclusion 12 References 13 Introduction Financial markets are vital for any economy. They channel the funds from firms, households and the governments which they have surplus funds to those who have shortage of funds as they spend more than their level of income....
10 Pages(2500 words)Essay

Financial Markets & Risks

...Pensions: Financial Analysis and Risks Executive Summary Recently, it has been seen that employers prefer to switch from Defined Benefit (DB) pensionscheme to Defined Contribution (DC) pension schemes for their new employees, and also a gradual transition for old employers. Many regulations and difficult financial situation of pension funds has accelerated this trend. Employers see a lot of advantages in switching to DC schemes. The investment of pension funds into several equity, debt, and hedge fund instruments is also being explored to ensure that employees benefit from the switching of schemes. A pension is a steady income promised to a person, usually after retirement. They can be in the form of a...
7 Pages(1750 words)Essay

Financial Markets

...RESEARCH PROPOSAL NO ARBITRAGE VALUATION OF ASIAN OPTIONS The management of financial assets is a tricky affair especially in the case ofa market that has a certain degree of friction attached to it. There is a certain degree of uncertainty as well as a certain amount of risk involved in the modeling of financial markets. Therefore, any modeling of financial assets is directed towards the reduction of the uncertainties & risks involved with the value of an asset or the pricing agreements that govern the variation of the determinants of financial assets' evaluation. Therefore, any such evaluation is performed so s to strike a perfect...
4 Pages(1000 words)Essay

Financial markets

...Financial Markets Table of contents Table of contents 2 Executive Summary 3 The Market View 5 The strategy 8 Conclusion 10 Reference 11 Executive Summary The global market has undergone a great transitional phase after the onset of financial crisis of 2008 in US. Australia being lucky enough did not face the extreme phase of economic recession which many others did. At that time the Australian government took certain steps to support its financial market but as the economy managed to come back on growth tracks, the government is trying to regain the control on economy. In early November 2009, Australian government raised...
6 Pages(1500 words)Essay

Financial Markets

...Financial Markets - Questions What are some key financial regulators? The term ‘financial regulators’ is used in order to indicate those organizations that supervise the financial services industry in the context of a country or within a greater area, for instance the European Union. One of the most known financial regulators is the Financial Services Authority (FSA) - the regulatory body of financial services in UK. Other organizations of such type are the following ones: a) the Financial Services Agency – in Japan, b) the ‘Autorité des marchés financiers’ – in France,...
4 Pages(1000 words)Essay

Financial markets

...Financial markets Financial markets Improvement of economic efficiency by financial markets Financial markets promote economic efficiency through the production of efficient capital allocation that increases production. The efficient direction of the flow of savings and investments facilitated by financial markets in the economy contribute to capital accumulation as well as goods and services production (Haliassos, 2013). Remarkably, the financial markets facilitate the connection between the well-developed financial...
3 Pages(750 words)Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Assignment on topic Financial Markets for FREE!

Contact Us