Class 12 Business studies chapter 10. Financial market important Notes.
Financial market..........short and easy notes for board exam. 1. What do you mean by money market? what are its characteristics? What are its important instruments? > Money market is the market of short term funds. It is considered as a market for providing working capital. Following are its characteristics; Short term security are traded in money market. It deals in short term funds for a period of one year. It focus on meeting of working capital requirements. Financial company or institutions are its major participants. Security of money market are highly liquid. Important instrument traded in money market; Call money - the day to date surplus fund of bank are traded as call money. It provide temporary shortage of cash. It is also called telephone market. Its maturity period are very short. Sometimes be only few hours. Treasury bill- it is issued by RBI on behalf of the government. Its maturity period are of the Government of India. It is issued at a discount. Its maturity...