Financial Statement of Bank

Financial Statement of Bank The Income Statement of Bank The Balance Sheet of Bank (Report of Conditions) Bank Assets n           The Cash Account (Cash held in bank’s vault + Correspondent Deposits). n           Investment Securities (Money Market Securities: The Liquid portion) ...

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Establishing New Banks, Branches & ATMs

Establishing New Banks, Branches & ATMs •      Brings added prestige •      More Costly •      Subject to stricter regulatory framework •      Larger deposits/loan •      Technical assistance from national bank authorities •      Part of Federal Reserve System •      Federal banking rules can ...

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An Overview of Banks & Their Services

An Overview of Banks & Their Services What is a Bank? Expert’s Opinions   n    “A dealer in debts – his own & of other people”.                                                             Geoffrey Crowther n    “A bank as an institution whose debts (bank deposits) are ...

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Indirect Investment in Financial Assets

Investment Alternatives: Indirect Investment in Financial Assets Investing Indirectly •      It involves the buying and selling the shares of investment companies those, in turn, hold portfolios of securities. •      Here, investors are purchasing the ownership interest in that portfolio managed ...

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Investment Alternatives: Direct Investment in Financial Assets

Investment Alternatives: Direct Investment in Financial Assets Types of Investments •      Direct Investment •      Indirect Investment Direct Investment Types of Financial Assets •      Non-Marketable Financial Assets •      Money Market Securities •      Capital Market Securities •      Derivatives Non-Marketable Financial Assets These ...

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Understanding Investments & Investment Decisions

Understanding Investments & Investment Decisions Defining Investment •      “An investment is the commitment of funds to one or more assets that will be held over some future time period.” or •      “An investment is the current commitment of fund for ...

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Return and Risk from Investing

Return and Risk from Investing Return •      Yield – Interest and Dividend •      Capital Gain •      Total Return in absolute form = Yield + Capital Gain •      Rate of Return or Total Return Ratio = (Cash Payment+ Capital Gain)/Purchasing Price ...

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Role of Securities Market

How Securities are Traded Role of Securities Market n    Provide liquidity to the investors n    Indicate the true price of securities n    Channel fund from surplus to deficit unit with the help of financial intermediaries (brokers) Type of Brokers n    ...

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