Money, Foreign exchange, Finance


Name: Alejandro Sánchez Villanueva

Answer the questions.

 

What is Finance?

 Finance are all the activities that have to do with money. It can be, when we pay something, when we save money, etc.

 

What is Financial System?

 Is a System that facilities and gives security to money movements.


What are the functions of a financial system?

 Provide the financial service, but also Its function is to attract and manage savings of foreign and national people.

Also, we can add that the financial system provides the financial capital for long-term capital formation for the government and business organizations 

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

  • Banks: They are the responsibles to save the money and makes financial deposits.
  • Non-banks System: They are independent of the baking system.
  • Insurance companies and pension founds: They are contracts that gives and economic benefit.
  • Credit unions: Grant credits and collect deposits

 

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

  •  Financial bonds: it refers to a debt certificate.
  • Saving acounts: Is a financial account offered by the bank that allows you to save your money safely.
  • Financial Actions: Is the property that a person has of a part of the company.
  • CETES: They are certificates that the government issues you and function as a promissory note in which you are lending money to the government

 

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

  • The target market changes.
  • Different investmen opinion.
  • Some are directed twards foreigners and other, to local people.
  • The way they work in the market. 

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

It´s a financial statement that reports the variations and movements of cash. Is the amount of money that moves in a business.


Comentarios

  1. Daniel’s blog7 de julio de 2021, 8:52 a.m.

    Hi Alex, you made great job. After reading others classmates responses i found yours really concise and clear giving me a better understanding of the topic. Thanks for that.

    ResponderBorrar
  2. Lizeth Rodríguez8 de julio de 2021, 7:03 p.m.

    hello, I think we have similar answers. I liked the organization of your questions and that they are brie.

    ResponderBorrar

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