Professional Documents
Culture Documents
Period
each other.
- To allow lenders to earn interests
- To allow for productive use of funds borrowed
- provide mechanism for selling financial assets
3) FINANCIAL INSTRUMENTS:Claims to the payment of sum of money in future.
E.g.:-bonds, fixed deposits, etc, shares
- Regular payment of dividends to investors
- Helps in borrowing and lending money.
4) FINANCIAL SERVIES:- Any industry of service of financial nature offered by
service provider.
- All the banking and insurance related services
-wide range of economic activities
-e.g.: share transfer, pledging of shares, mutual funds,
discounting, credit cards.
-in India financial services was started in 1980s
A recent estimate contained in Rakesh Mohan committee
report states India needs 7,50,000 crores to assemble a
medium infrastructure
-First leasing company in India was in 1973.
GROWTH OF INDIAN FINANCIAL MARKET:-enormously grown since 1950 size, diversity, innovation,
complexity and sophistication.
-money supply, savings, bank deposits, credit, primary,
etc.