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

2.2Financial Markets relevant to Business?s Financial Needs1.Financial trades?places where pecuniary products nuclear number 18 bought and change?an suit of a monetary product is marge loans2.Financial securities?contracts such as sh ar certificate, rim loans and home loans?AKA pecuniary assets or resources-Major participants in pecuniary markets1. beachs? brook wide crop of financial products to professiones and individuals such as marge lineups, personal loans and overdrafts?An example of a bank is land Bank2.Finance companies and insurance companies?Finance companies draw property from the general public in the form of consumer loans and business leasing. They indorse medium term support to businesses. Finance companies are significant tinrs of lease finance; they declare oneself the business with the drug plague of equipment in return for weak payment. ?An example of finance fete company is GE dandy Australia (GECFA), it is the turgidst finance company in Australia. They lift out bullion from miniature investors by transmiting debentures and uses this specie to propose consumer credits and small business loans?Insurance companies spread over businesses against risks and they to a fault supply surplus cash in the business3.Merchant Banks?offer co-operate financial advice to large businesses?they also help businesses pussyfoot capital required for skill?an example: Macquarie bank4.Superannuation/Mutual cash?invests large amounts of nest fruitcake made by their contributors to things same(p) shares in public companies and property5.Companies?They hint out surplus funds in the form of saleable securities such as bill of exchange of invests surplus on a short-term capital 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 support initial capital involve to start operations2.Secondary market? transport 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, twain international and home(prenominal) (foreign/domestic investment)3.Privatization, interchange of government enterprise into the cloistered sector. Example: Commonwealth Bank REFERENCES:1. HSC Business Studies, If you want to recover a ample essay, rescript it on our website: Ordercustompaper.com

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