BU111 Study Guide - Final Guide: Margin Call (Film), Open Market Operation, Hypothecation
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BU111 Full Course Notes
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Document Summary
8 short answer questions, 1 to 4 marks each = 25 marks. 7 quantitative problems, 3 to 5 marks each = 25 marks. Four pillars of canadian financial system (description, roles/functions: chartered banks. Offer chequing and savings accounts to attract capital for loans. International: currency exchange, credit letter and banker acceptance. Cooperative savings and lending association formed by a group with common interests. Adding to savings consists in deductions from pay cheques. Facilitate trade of stocks and bonds in the securities market. In primary markets: advice (timing and terms), underwrite (buys all or best effort) and distribute new stocks. Investment banking has burst due to deregulations. Manages economy and regulates aspects of chartered banks. Securities (open market operations) and interest rates (bankrate) Expansionary (increase the money supply) or restrictive policy (decrease the money supply) Governments and firms frequently borrow in foreign markets. Wb: world bank: limited services and funding of national improvements.
