1. What is an important economic role of capital markets? Give
an example of a capital market instrument and explain how it works.
Who are the main participants in the capital market?
2. List and briefly describe five basic roles of
the financial system
3. What are different types of insurers and how do they differ?
What are the two types of pension plans?
What is an important economic role of capital markets? Give an
example of a capital market instrument and explain how it works.
Who are the main participants in the capital market?
Regulatory capital standards
a. Are based on the risk profile of the bank
b. Are stiffer for systemically important financial
institutions
c. Are being coordinated internationally
d. All of the above
• What is a structural gene?
• What is a regulatory sequence?
• What is a promoter? What is an operator?
• What are the regulatory GENES and their promoters? What is a
repressor? Are these genes considered
part of the operon? Are they always located next to the genes they
control?
It is suggested that the initial exclusion of market risk from
capital requirements and high regulatory costs in the Basel I
Accord, encouraged banks to shift their risk exposure (via
securitisation) from priced credit risk to unpriced market
risk.
(a). Do you agree? Discuss with examples.
(b). Explain the securitisation process.