1 .
Define money market. What are its broad objectives and functions? How is money market different from capital markets?
2 .
What is a derivative contract? Explain forward, future and options contracts.
3 .
In every lending decision, credit officers refer to a principle of lending known as the 5 Cs of credit.< !--[if !support Lists]--> (a) <!--[end if]-->What is the relevance of this principle in a loan evaluation process?< !--[if !support Lists]--> (b) <!--[end if]-->Explain with details, the 5 Cs of credit.
4 .
Outline the main elements of the prudential norms relating to the credit and investment portfolios of banks. Discuss briefly the capital adequacy norms applicable to banks.
5 .
Explain briefly the main elements of the Asset Liability Management Framework prescribed by the RBI, for the banks in India.
6 .
Explain briefly the major types of risks to which banks are exposed.
7 .
Describe the role of developmental financial institutions in industrial financing. Give examples of some of the developmental financial institutions in India.
8 .
Write short notes on any three of the following:-
<!--[if !support Lists]--> <!--[end if]-->Commercial Banks
<!--[if !support Lists]--> <!--[end if]-->NBFC
<!--[if !support Lists]--> <!--[end if]-->Universal Banking
<!--[if !support Lists]--> <!--[end if]-->Securitizations.
<!--[if !support Lists]--> <!--[end if]-->NASDAQ
Case Study
Dilemma of Asian Bags
Asia Paper Bag has since 1990 operated as a manufacturer of plastic carrier bags supplying them on a contract-manufacturing basis to well-known supermarket chains, fast-food outlets, pharmacies and department stores. Lately, Asia Paper Bag exports customized plastic carrier bags to Marks n Spencer and Boots Pharmacy in the United Kingdom.
During the Asian financial crisis, Asia Paper Bag had difficulties in meeting its term loan repayment, and