Question

Write a brief “Overview of Global Financial Market”

Areas to be covered :-

1. Different Financial Institutions that operate in Global Financial Markets and their specific roles.

Answer 1

Global financial market is Highly effective in the contemporary world in order to help the companies to raise the fund and they are also trying to to monitor the movement of currency flows from one country to another and they have a chain of Central banks in order to regulate so currency moments so there is a more transparency in transaction making in global economy.

there are various financial institution that are operating in the global financial markets like-

A. Regulatory bodies-there are large number of regulatory bodies which are present all over the world like security and exchange commission in United States and exchange Board of India in order to monitor the movement of the financial flows in the overall financial system.

B. Central banks-these banks are generally associated with management of the money flow in the economy and these will be helping the money flow in the economy by formulation of adequate monetary policies for the commercial banks.

C.commercial banks and Financial institutions domestically are also helpful in adhering to the rules and regulations which are set by the regulators and they are also acting as an intermediary between the lenders and borrower's all across the globe.

D. There are various global regulatory institutions like International monetary fund & World Trade Organisation who are regularly looking in operations between various countries in order to maintain transparent and smooth flow of funds.