Finance reviewer – midterm

Types of Market 1 . Physical asset grocery stores (also called transp atomic number 18nt or real asset markets) vs. Financial asset markets Physical asset markers are for products such as wheat, autos, real estate etc. Financial asset market deals with stocks, bonds, notes and mortgages. 2. brand Market vs. Future Markets Spot markets are markets in which assets are bought or sold on the spot. Future Markets are markets in which participants match today to buy or sell an asset at some future date. 3.Money markets vs. Capital market Money markets are short term, highly liquid debt securities. Capital markets are for Intermediate or pine term debt and corporate stocks. 4. Primary markets vs. secondary markets primary are which corporate raise new capital. Secondary, which securities and different financial assets are traded among vectors after they have been issued by corporations. 5. Private vs. Public Markets Private Markets, which transactions are worked out directly betw een 2 parties. Public Markets, which standardized contracts are traded on organized exchanges. heavy(p) MARKET Capital Markets A component of financial markets where long-term borrowing takes place Are arrests for buy and selling equity and debt instruments The Market where investment instruments like bonds and equities are traded (Maturity period) Lasts for more than 1 year and john also include life-time of a company New York Stock Exchange or NYSE is the virtually popular capital market It channel savings and Investments between suppliers of capital (such as retail Investors and institutional Investors) and users of capital (Like business, government and Individuals) Suppliers of Capital Markets.