financial markets Flashcards
refer broadly to any marketplace where securities trading occurs, including the stock market, bond market, forex market, and derivatives market.____ are vital to the smooth operation of capitalist economies.
Financial markets
Financial Markets are classified into
MONEY MARKET AND CAPITAL MARKET
the ________ trade in products with highly liquid short-term maturities (less than one year) and are characterized by a high degree of safety and a relatively lower interest return than other markets.
Money Market
seek to improve transactional efficiency. These markets bring those who hold capital and those seeking capital together and provide a place where entities can exchange securities. composed of the suppliers and users of Funds.
Capital Markets
Capital markets are composed of
Primary Market & Secondary Market
new issued securities
Primary Market
existing securities
Secondary Market
most common capital markets
stock market and bond market.
refers to the market where regular activities of buying, selling and issuance of shares of publicly held companies take place.
Stock Market
trading and issuance of debt securities.
Bond Market
is an umbrella term representing all stocks that trade in a particular region or country. A ________ is often represented as an index or grouping of various stocks, such as the S&P 500.
stock market
is a marketplace or the infrastructure that facilitates equity trading.
stock exchange
Advantages of Stock Market
Most accessible market
Ready Market
Liquidity of the Market
Operates in full public view
Who are the players in the Stock Market?
Investors
Stockbrokers
stock exchange
transfer agent
clearing house
listed company