Financial Market

Financial Market

Financial Market is a place where buyers and sellers trade with short term and long term financial instruments like share, debenture, bond, loans, currencies etc. It is a very large in size. We can categories the Financial Market into two parts. One is money market and second one is capital market.

In money market, we always trade with highly liquid and short term financial need with less then one year of maturities like Certificates of deposit, Banker's bill, Treasury bills, Commercial papers etc. and other side, in capital market, we always trade with long term financial need. Here's any individual or corporate institution raise fund for there long term financial need through share, bond etc.

For any country's economic growth, financial markets play a very important role because of its regulations, investors protection, highly liquidation of funds, time saving policy and transparency in trades.

Thanks
Saurav..