A financial system is a network of financial institutions, financial markets, financial instruments, and financial services that facilitate channelization of funds.
The financial system performs the essential economic function of channeling funds from those who are net savers (i.e. who spend less than their income) to those who are net spenders (i.e. who wish to spend or invest more than their income). In other words, the financial system allows net savers to lend funds to net spenders. At the end of this course, you would be able to understand :-
- Financial System,
- Financial Markets,
- Participants in the Financial Market,
- Equity Market,
- Debt Market,
- Debt Instruments.