Bank, financial market, stock exchange, economic crisis, covid 19, banking operation, security, collection of deposits, credits, interbank operations, management, means of payment, financial crisis, online banking, derivative product, competition, securities, foreign exchange, debt, loans, stock exchange, Boursorama, Monabanq, Fortuneo, Hello Banq, Orange Bank, N26
The financial system is part of the economic activity of a country and contributes to its proper functioning. It designates all the regulations and, in general, the institutions that make it possible to connect the organizations that can offer financing and the consumers or businesses that need it.
However, the roles of the financial system are much broader since, thanks to a set of financial markets, it can provide a match between supply and demand, thus making it possible to operate the entire economy in a country.
Consequently, financial and economic systems are inseparable, one allowing financing the other. Banks thus make it possible to meet the different needs of economic agents, regardless of their status, companies, individuals or communities. While there are needs that fall within the scope of finance, others remain at the advice or service stage.
[...] The financial market has two major categories of financial securities that are traded: stocks and bonds. Shares represent what happens on the market dedicated to shares (issues and exchanges). Bonds represent the same things but are done in the bond market. Furthermore, the financial market is made up of primary and secondary markets. In France, the financial market is Euronext Paris which is regulated. It hosts the trading of stocks and bonds. The interdependence of markets and market capitalization are what characterizes the financial market. B. Interbank, foreign exchange and securities markets 1. [...]
[...] They also allow investors to grow their savings. In the capital market, it is mainly households that have positive saving capacity, but also companies. Finally, as we have said, this market makes it possible to produce a certain amount of wealth and, therefore, to advance the economy. [...]
[...] These online banks are all the more convincing as the rates are often less expensive. In 2022, and in the years to come, the security of transactions has become the ultimate priority for banks, which have become commercial enterprises like so many others, due to competition, which has forced banking establishments to adapt to needs and expectations. Banking institutions have been desacralized in a short time, and they, therefore, have commercial strategies resembling all other companies. The financial markets are slowly recovering from the economic crisis linked to Covid 19, an unprecedented crisis and, above all, uncertainty about the future. [...]
[...] Indeed, investors can choose their intermediary according to the offers that are made on the market and according to their needs. Transactions are much freer and much less regulated than on the primary market. E. Operation of the Stock Exchange The Stock Market is something everyone has heard of at least once in their life. It is a market where financial instruments such as bonds, stocks, mutual funds or currencies can be traded. It is like many other markets in that it is subject to the laws and rules of supply and demand. [...]
[...] In this article, we will talk about the functioning of the bank and the financial market. In the first part, we will deal with the bank and its generalities. We will analyze banking operations and financial crises. We will also talk about the rise of online banking and securities transactions. A second part will deal further with the financial markets. After having defined the concepts involved, we will study the interbank markets, the foreign exchange market and the securities market. [...]
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