What are financial markets?
Financial markets do what all markets do – price discovery. Fish markets find the price of fish, gold markets the price of gold, job markets determine your salary. The price of money means the financial markets mobilize savings into investments – and channel them for various uses. It determines the prices of bonds, equities, warrants, etc. Broadly there are four broad classifications –
a. Debt market b. Money Market c. Capital Market and d. Forex market
Each of them are of course interlinked – and the whole world markets are linked in some form or the other.
Pooja
***********Financial markets do what all markets do!****************
Crsytal clear!!M sure, there is no better way to put it!!
Muthu
Good start. Too short! It would be enlightening to hear your elaborative perspective on financial markets.
anon
hmm… this was cryptic.
Jayant
Subra sir, can you please elaborate on each of these markets in some future blog.