ASSIGNMENT 5: Money, foreign exchange and finance


NAME: Cinthia Segura Pérez

NUA: 117494


 What is Finance?

           Finance studies the exchange of capital between stakeholders and that carry a risk.

What is Financial System?

It is the set of authorized institutions that keep money and authorize transactions between savers, investors, lenders and borrowers.

What are the functions of a financial system?

The function of a financial system is to make relationships between different stakeholders like the savers, investors, lenders for borrowers and other market participants who are existing in this particular system.

Provide the financial service where the different stakeholders can maximize their return.

How are the main types of financial institutions categorized? Describe each one.

Banking and non-banking: Banks are creators of credit, and non-banking institutions purveyors of credit.

Intermediaries Vs. Non-Intermediaries: Intermediaries intermediate between savers and investors; they lend money as well as mobilize savings. Non-intermediary institutions do the loan business, but their resources are not directly obtained from the savers, money comes from the other financial assistance.

Which are the main classes of financial instruments issued in a financial system? Describe them in detail.

Derivative Instruments: derivative instruments are derived from an underlying. An example is futures, stocks work as an underlying, so if I want to increase profits and reduce risk, I buy a future.

Cash Instruments: It is an instrument evaluated by the market.

Debt-based instruments: these types of instruments are short-term, so their risk is lower.

What are the distinctions between various types of financial markets according to their function? Explain them.

Money and Capital Markets: This is conventional distinction is based on the difference in the period of maturity of financial assents issued in these markets.

Primary and secondary markets: Primary markets deal in the new financial claims or new securities. Second markets deal in the securities already issued or existing or outstanding, depends of the demand and supply

What does the “flow of funds” refer to? Explain in detail. 

It tracks the movement of money between industries and sectors at the national level, making it a great tool to help measure GDP.

Write a final reflection on the topic, mentioning what were the most important aspects you learned.

I did not know most of the terms used in this matter, so it seemed very interesting and important to me to know how the financial system works and the way it works, as well as the way it is supervised.

The financial system is very broad and although I did not know it in depth, this information will serve as a basis for other financial issues.

Comentarios

  1. Judith G. Cardona21 de diciembre de 2021 a las 7:48 p.m.

    I had not seen how the financial system worked either, but I think that you did a great job explaining the concepts it entails - describing them in concise and clear ways that make their understanding easy for beginners.

    ResponderBorrar
  2. MICKY21 de diciembre de 2021 a las 8:25 p.m.

    I agree with you in your final reflection, certainly there were terms that I did not fully understand and I still do not understand, the way you put your information is clear and easier to understand, some terms when reading them for you, they are a little clearer to me.

    ResponderBorrar
  3. Fernanda Ramos21 de diciembre de 2021 a las 8:26 p.m.

    Excellent definitions of finance, and very good content, we share some ideas. I was glad to know what you think about this topic.

    ResponderBorrar
  4. Cinthya Beltrán21 de diciembre de 2021 a las 10:39 p.m.

    Muy buenas respuestas y tenemos algunas opiniones en común acerca del tema.

    ResponderBorrar
  5. Abril's Blog21 de diciembre de 2021 a las 10:53 p.m.

    I agree with you it is important to have knowledge about financial matters, we do not know when it will be useful to us

    ResponderBorrar
  6. Ekateryna Calderón22 de diciembre de 2021 a las 8:40 a.m.

    I also didn't know or understand the terms used but it's great that now we all have some financial literacy because all these systems are the fundation of the world's economy

    ResponderBorrar
  7. My Business Communication Blog24 de diciembre de 2021 a las 12:42 a.m.

    I think you did an excellent job at explaing everything. Really complete and concise.
    I've heard about some of the terms, but I didn't know exactly what they are. Thank you for the information!

    ResponderBorrar
  8. Rafael Ávila24 de diciembre de 2021 a las 1:34 a.m.

    I agree with your opinion, excellent way to conclude what was learned in the assignment

    ResponderBorrar
  9. Karla Yuritzi Flores24 de diciembre de 2021 a las 10:27 a.m.

    I think this topic it is very dificult to understand, but you explain very well, i agree whit you.

    ResponderBorrar

Publicar un comentario

Entradas más populares de este blog

 ASSIGNMENT 9: DEFINITIONS Name: Cinthia Segura Pérez NUA: 117494 Administration Provide a definition of administration. The administration is to bring control and monitor an activity or an organization, as a company. Concepts of Administration Basically, the administration is in charge of analyzing and correcting the operation of a company, organization, activity, etc . Universal functions in Administration ·        Planning How the work will be carried out. ·        Organizing Roles and responsibilities to be performed by each person or group of people. ·        Commanding A person who will monitor and control those activities are being carried out correctly. ·        Coordination Make sure everyone is doing activities correctly. ·        Control Review how the organization is working to correct errors.   Business Define Busine...
Leer más
ASSIGNMENT 20: BUSSINES COMMUNICATION AND TECHNOLOGY  NAME: Cinthia Segura Pérez NUA: 117494  1.       What is Managing information withing and outside the organization? Information management helps to maintain control over the information that circulates in the company, it can be internal such as financial matters, issues with suppliers, production, sales, etc., or external such as dealing with the media, managing corporate news, controlling the crisis of public companies, etc. All of this through the use of technological means that have evolved over time and with new knowledge. 2.       What is the importance of it? Information Technologies facilitate the exchange of information, but for that information to be organized and only be viewed by authorized persons, information management tools are used, which allow reducing times in sending messages and are not so expensive, in addition to allowing more efficient communication. 3...
Leer más
 ASSIGNMENT 12: Human Resourses  Name: Cinthia Segura Pérez NUA: 117494 Define Human resources. It is a division of the organization that is responsible for finding, selecting, recruiting, and training employees. What is the role of human resources? Define in detail. They are responsible for protecting the integrity of employees against problems, as well as helping them, offering them benefits and others. He makes sure to manage a good relationship between the company and the employees. What is Capital? Capital are all those assets that generate value for the company, not just money. These assets can be tangible or intangible, such as employees, machinery, cash, brand recognition, among others. In your opinion, is human resources necessary? Explain. Of course, because many companies have very marked hierarchies, so that when a problem arises between a director and an employee, the latter does not act out of fear and/or lack of knowledge, so this department serves as an interme...
Leer más