Financial markets: A discrete source of earning for intelligent people!

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Everybody gets to live their own ways of lives. To sustain happily people are in need of one sole thing which is money. Even though there is lots of happiness without money but the center of attraction stands as money. Most of the people are attracted to a certain place called as Financial Markets were earning becomes math or calculations. It is a place where both buyer and seller meet for buying or selling bonds or currencies.

  • Financial market

The financial market is both a physical location and electronic system. These two systems are interdependent on both. At present days technology is very important without technology there is no benefit. The successful running of the financial market is only through the help of electronic media and even through the internet. The electronic media like National Association of Securities Dealers Automated Quotation (NASDAQ) are responsible for working with financial markets without crashes.

  • Connect from any part of the world

All the nations are involved in financial markets so that people can connect with any part of the world with the help of internet. The Internet is just a tool to get connected with trade markets or stock exchange even some medias or television channels broadcast the rate of sellers which could stand as useful information for people. People start earning money in financial markets in just two ways which are mentioned below

1. Securities
2. Commodities

Securities include stocks and bonds. Most of the people stick around securities because it has got fewer investments. Commodities are more like precious metals or agricultural products.

  • Types of financial markets

There are 9 types of financial markets and it has got different forms. People can easily invest in any of the 9 and start earning in a better way. The 9 types of markets are

 Capital market
 Money market
 Derivatives market
 Spot market
 Forex market
 Interbank market
 Equity market
 Credit market
 Commodity market

These are the 9 types of markets which are available for investing. People can get into any of these financial markets and make their earnings. It is very simple and easy to get into these markets but earning happens when investors are having complete concentration. Increases and decreases are based on discrete calculations and people should get involved and calculate the average of 21 days or check on 21 days of the market before buying or selling anything.

  • Money under transaction

Most of the people Most of the people have this doubt, how money is being transacted or circulated with the loss. There are initial investors for the growth of financial markets. Apart from the investors’ banks, insurance companies, certain corporate, pension funds, mutual funds come into help for transacting money. There are benefits for people who are helping with the transaction of money. Trade markets or even stock exchanges are working in this rotation basis. Some of the corporate companies and big industries come into investment for a regular flow of money in trade markets or stock exchanges which can become one of the biggest benefits for them.

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  • Final word

A financial market is an aggregate of possible buyers and sellers of financial securities, commodities, and other fungible items, as well as the transactions between them. Examples of financial markets include capital markets, derivative markets, money markets, and currency markets. There are many different ways to divide and classify financial markets: for example, into general markets and specialized markets, capital markets and money markets, and primary and secondary markets.

Within the financial sector, the term “financial markets” is often used to refer solely to the markets that are used to raise finance:

  • for long-term finance, capital markets are used
  • for short-term finance (maturity up to one year), money markets are used.

Stock markets and bond markets are two types of capital markets that provide financing through the issuing of shares of stock and the issuing of bonds, respectively. A key division of the capital markets is between the primary markets and secondary markets. Newly formed (issued) securities are bought or sold in primary markets, such as during initial public offerings. Secondary markets are for the second trade of securities, providing a continuous and regular market for the buying and selling of securities.

While capital markets and money markets constitute the narrower definition of financial markets, other markets are often included in the more general sense of the word. The derivatives market is the financial market for derivatives– financial instruments like futures contracts or options– which are derived from other forms of assets. Currency markets, enabled by foreign exchange (or forex) markets enable currency conversion and determine the relative value of world currencies.

A post by Amit Mukherjee (7 Posts)

Amit Mukherjee is author at LeraBlog. The author's views are entirely his/her own and may not reflect the views and opinions of LeraBlog staff.

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