What's it: A contract is a legally enforceable agreement between two or more parties. A contract establishes a relationship between the parties who agree to do or refrain from doing some act now or in the future. A contract may also specify how
Financial Market
How Can We Say Financial Markets Are Vital? What are the Types?
Advanced financial markets are the foundation for economic growth. When functioning effectively, it enables the economy to efficiently maximize financial capital to its best use. A financial market is where companies raise money for their capital
Financial Markets: Functions, How They Work, and Infrastructure
In financial markets, buyers and sellers trade financial assets or securities. Examples are the capital market and the money market. The futures, derivatives, commodities, and foreign exchange markets are other examples. For example, the money
Institutional Investors in Financial Markets: Who Are They?
Who're they: Institutional investors are organizations or companies that put money into making a profit. There are various institutional investors in financial markets. Examples include banks, insurance companies, pension funds, foundations,
Securities in the Financial Market: Equity, Debt, Pooled investment, Derivatives
What's it: Securities are tradable certificates or financial assets, which we can buy for regular income or sell later for a profit when the price goes up. They have many variations. Equities and bonds are the most
Financial Market Investors: Roles and Types
Who’re they: Financial market investors are those who invest money in financial markets to earn returns. They may be retail investors or institutional investors. They trade various financial instruments such as stocks, bonds,
Spot Market: Meaning, Features, Examples, Advantages
What's it: Spot market is a market in which trading takes place for immediate delivery. Examples of spot markets are the market for securities, commodities, and foreign exchange (forex). Ideally, delivery takes place a few seconds after completion
Financial System: Its Role, Functions, and Characteristics When It Works Effectively
When we talk about the financial system, we refer to the institutions and other elements involved in circulating funds in the economy. The system includes financial institutions such as banks, pension funds, and insurance companies. Meanwhile, other
Capital Market: Importance, Types, and How It Works
What's it: The capital market is where long-term instruments are traded. Examples include New York Stock Exchange, NASDAQ Stock Market, Shanghai Stock Exchange, Hong Kong Stock Exchange, Tokyo Stock Exchange, Euronext, and London Stock