2.2 Financial Markets relevant to Business's Financial Needs + Business Summaries

2.2Financial Markets relevant to Business?s Financial Needs1.Financial merchandises?places where pecuniary products atomic number 18 bought and exchange?an suit of a monetary product is marge loans2.Financial securities?contracts much(prenominal) as sh ar certificate, bound loans and home loans?AKA fiscal assets or resources-Major participants in monetary markets1.coin banks? chap wide crop of monetary products to professiones and individuals such as bank building explanations, personal loans and overdrafts?An example of a bank is land Bank2.Finance companies and insurance policy companies?Finance companies draw currency from the general public in the form of consumer loans and business leasing. They run medium term support to businesses. Finance companies are strategic tinrs of lease finance; they rear the business with the drug pervert of equipment in return for fix payment. ?An example of finance carry company is GE peachy Australia (GECFA), it is the monumentalst finance company in Australia. They lift out silver from abject investors by transmiting debentures and uses this cash to deliver consumer credits and small business loans?Insurance companies encompass businesses against risks and they to a fault succeed surplus monetary resource in the business3.Merchant Banks?offer co-operate financial advice to large businesses?they also help businesses swindle capital required for encyclopedism?an example: Macquarie bank4.Superannuation/Mutual cash?invests large amounts of nest bullock block made by their contributors to things alike shares in public companies and property5.Companies?They take up out surplus funds in the form of vendible securities such as bill of exchange of invests surplus on a short-term specie market. ?an example: David Jones6.

Government (Reserve Bank of Australia)?they provide overall supervision of the financial system in Australia-Role of Australian Stock Exchange (ASX)1.Primary market?help new businesses prink initial capital require to start operations2.Secondary market? stag existing shares-Domestic and international influences and trends and their implications on the business?s financial needs1.Impact of globalization, one global economy2.Interest rates, two international and home(prenominal) (foreign/domestic investment)3.Privatization, selling of government enterprise into the cloak-and-dagger sector. Example: Commonwealth Bank REFERENCES:1. HSC Business Studies, If you want to undertake a ample essay, bless it on our website: Ordercustompaper.com

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