Module-4
Financial Market
Derivative s Market
Insurance Market
Business firms or organisations raise funds from investors in the form of equites and debts (collectively known as the capital structure) and further reinvest it into various investment schemes by carefully analyzing the returns in order to meet out their obligations relating to purchase of assets which provides them long term benefits of compensation.
Prof srikanth venkataswamy
In finance: Investments
In finance, investment is the commitment of funds through collateralized lending, or making a deposit into a secured institution. In contrast to investment; dollar cost averaging, market timing, and diversification are phrases associated with speculation. Investments are often made indirectly through intermediaries, such as banks, Credit Unions, Brokers, Lenders, and insurance companies. Though their legal and procedural details differ, an intermediary generally makes an investment using money from many individuals, each of whom receives a claim on the intermediary.
Prof srikanth venkataswamy
Trade:
Business of any kind; matter of mutual consideration; affair; dealing.
The business which a person has learned, and which he engages in, for procuring subsistence, or for profit; occupation; especially, mechanical employment as distinguished from the liberal arts, the learned professions, and agriculture; as, we speak of the trade of a smith, of a carpenter, or mason, but not now of the trade of a farmer, or a lawyer, or a Prof srikanth venkataswamy physician
Additionally for investors, FDI provides the benefits of reduced cost through the realization of scale economies, and coordination advantages, Prof srikanth venkataswamy especially for integrated supply chains.