The function of the financial market is to facilitate the transfer of funds from surplus sectors(lenders) to deficit sectors (borrowers).In other words its a mechanism that allows people to easily buy and sell financial securities in financial market (Financial market does, not refer to a physical location). In general, households have more funds or savings, which they lend to corporate and public sectors whose requirement of funds far exceeds their savings. A financial market consists of investors or buyers of securities, borrowers or sellers of securities, intermediaries and regulatory bodies.
In simple terms “organizations that facilitates the trade in financial products” is known as financial market. Financial market is classified in to following categories:
Financial Market:
- Capital market
- Foreign exchange market
- Commodity market
- Derivative market
- Money market
About Me
The purpose of this blog is to clear financial concepts, aspects....
before that let us see what is finance ?
Finance in simple it's art and science of managing money. Finance in broader view it deals with two things ie., Financial service and financial management.
In the above passage three new terms are there - Money, Financial Service & Financial Management. what are they ? what they mean hear ? are the questions which will arise in our mind when we read it. Let us one by one briefly now
Money - Its medium of exchange.
Financial Service - its concerned with design and delivery of advice and financial products to individuals, business and governments.
Financial Management - its concerned with the duties of the financial manager in the business firm.
This is what the finance in general.
I've just created this blog as I planned.
I decided to post at least one artical on a day regarding finance, everything will start from basic only...
So I ask you to visit my blog regularly and utilize it......
Let me see what I can do in this blog