Question

In: Finance

Without using google or encyclopedia, in your own words write a definition for each: 1. Finance...

Without using google or encyclopedia, in your own words write a definition for each:

1. Finance

2. Bonds

3. Financial Assets

4. Financial Instruments

5. Securitized assets

Solutions

Expert Solution

Finance - It is a subject which deals with all the matters of procurement, management and study of money and investments related to an individual or an entity.

Bonds - It is a loan obtained by the borrower from the investor, agreed before with payment terms and interest.

Financial Assets - Assets which are non-physical in nature and have monetary value attached to them through contractual claim.

Financial Instruments - These are monetary instruments which are contracted between two or more parties and can be traded.

Securitized Assets - Assets which are formed by converting illiquid assets to financial instruments.


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