Discuss The Importance Of Direct And In
Discuss the importance of direct and indirect financing for the flow-of-funds function of the financial system.
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Content Page
1. Executive Summary 4
2. Introduction 5
3. Flow of funds 5
4. Direct Financing 6
4.1 Advantages 7
4.2 Disadvantages 8
5. Indirect financing 9
5.1 Advantages 9
5.2 Disadvantages 11
6. Global Financial Crisis 11
7. Conclusion 12
8. Referencing and citation 14
9. Appendix 16
1. Executive Summary
This report mainly discusses the importance of flow of funds in the financial system and the advantages and disadvantages of direct and indirect financing.. It will review and crucially explain how the advantages and disadvantages of direct and indirect financing will affect the on the global financial crisis. This report focuses mainly on flow of funds where it is two main channels that flow from lenders to borrowers. In the following content, it will show how direct and indirect financing have affected oh what decisions people have made that might have caused financial crisis. It also examine the things that firms and financial intermediaries can do to or maintain the stability of the financial system through regulations
The main purposes that support financial services for the economy are facilitate the flow of saving to invest through direct and indirect financial markets, to provide an efficient payments system to facilitate trade and lastly to provide a contracts to manage risk. This report will be focusing on the flow of funds where direct and indirect financings are involved.
Furthermore, it will discuss on past issues like global financial crisis and how direct and indirect financing might have caused that impact. It also discuss on which will be a better system to use.
Finally, it is concluded that both direct and indirect financing play important role in the financial system where supervision is needed to maintain or enhance the financial system stability in order to
Bottom of Form
Content Page
1. Executive Summary 4
2. Introduction 5
3. Flow of funds 5
4. Direct Financing 6
4.1 Advantages 7
4.2 Disadvantages 8
5. Indirect financing 9
5.1 Advantages 9
5.2 Disadvantages 11
6. Global Financial Crisis 11
7. Conclusion 12
8. Referencing and citation 14
9. Appendix 16
1. Executive Summary
This report mainly discusses the importance of flow of funds in the financial system and the advantages and disadvantages of direct and indirect financing.. It will review and crucially explain how the advantages and disadvantages of direct and indirect financing will affect the on the global financial crisis. This report focuses mainly on flow of funds where it is two main channels that flow from lenders to borrowers. In the following content, it will show how direct and indirect financing have affected oh what decisions people have made that might have caused financial crisis. It also examine the things that firms and financial intermediaries can do to or maintain the stability of the financial system through regulations
The main purposes that support financial services for the economy are facilitate the flow of saving to invest through direct and indirect financial markets, to provide an efficient payments system to facilitate trade and lastly to provide a contracts to manage risk. This report will be focusing on the flow of funds where direct and indirect financings are involved.
Furthermore, it will discuss on past issues like global financial crisis and how direct and indirect financing might have caused that impact. It also discuss on which will be a better system to use.
Finally, it is concluded that both direct and indirect financing play important role in the financial system where supervision is needed to maintain or enhance the financial system stability in order to