FINC412 Lecture Notes - Lecture 1: Eurodollar, Homeowner Association, High-Yield Debt
15 Mar 2017
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Chapter 1 & 2 financial intermediary to borrow money/finance their decisions: inefficient to conduct transaction directly, deficit spending units lend money to surplus spending units via a. Treasury bills: securities traded in capital markets have maturity of longer. Iii. financing underlying security (options, future, fx contract: hedge against risk, speculate than 1 year ex. Bonds (corporate ious that extend beyond a year), stocks (no maturity to stock), mortgages: derivatives security that gets its value from another, public companies traded on the exchange, goes to the public for. Sec regulatory entity for us markets: disclosure - regulations for public firms for releasing financial information, ex. Steve jobs, terminally ill, public information that negatively impacted analysts views of apple: chairs of publically traded company not protected by. Hipa: if you have information investors should know to make an informal decision you must disclose or face criminal charges for securities fraud. Global consolidation: banks are owned cross border (ex.
