Question

In: Finance

Explain the significance of sequence: money, financial securities, financial market, financial institutions, regulation, and central banks....

Explain the significance of sequence: money, financial securities, financial market, financial institutions, regulation, and central banks.

Who are the primary beneficiaries of financial regulation?

Solutions

Expert Solution

Money: It is used for the trasaction between two or more party.

Financial Securities: It is used for the investing purpose so that can earn some return over the period.

Financial Market: It is place where trade happen for financial securities.

Financial Institutions: It is big financial companies who perform financial trasaction for the other investors and provided different financial services for successful financial transaction.

Regulations: It is guidelines formed by the regulatory bodies to maintain the financial market discipline so that no can cheat the investors, it also helps in reducing financial risk.

Central banks: It determine the monetary policy of country and make sure that economy is performing well. It also check the inflation so that it wont impact the growth.

Primary beneficiaries of financial regulations are investors because they are the one who are exposed in financial market.


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