Merchant Bank
Introduction
1.1 Introduction
Capital markets are market for trading long-term financial securities, including ordinary shares, long-term debt securities such as debentures, unsecured loan stock and convertible bonds. Government bonds and other public sector securities such as Treasury bills and stocks are also traded on capital markets.
The main strength of merchant banking is not provision of finance but providing the whole range of inputs of innovative financial services, technical and managerial knowledge, competence and expert advice on legal and industrial matters needed by the user of funds for establishing a new business unit.
Merchant banks play an important role in mobilizing small savings and channeling them to productive investment.
Since our capital market is not as efficient as others, yet it tries at best to create a strong, fair, efficient and effective market. Apart from they facilitate merchant bank so that they can help as possible as to organize such a valuable capital market mechanism.
1.2 Rationale of the study
The rationality of our study on capital market as well as its right hand merchant bank is to know and understand how they do their operation locally and globally. We, the students of Finance and Banking department should know top to bottom of the capital market. To study on this vital topic our motivation was our respected teachers and potential members of capital market and merchant banks who helps us to show the right way of finding our study topics and materials on which we can analyze.
1.3 Objective of the study
Some days ago, entire world faced a financial crisis. Analysts said it was horrible for world economy and the only reason was capital market operation. In advanced country, we see that they about all deals with capital market with some fictitious assets. They may overcome that problem because they know very much about capital market. If this type of problem would occur in our country, it was a
1.1 Introduction
Capital markets are market for trading long-term financial securities, including ordinary shares, long-term debt securities such as debentures, unsecured loan stock and convertible bonds. Government bonds and other public sector securities such as Treasury bills and stocks are also traded on capital markets.
The main strength of merchant banking is not provision of finance but providing the whole range of inputs of innovative financial services, technical and managerial knowledge, competence and expert advice on legal and industrial matters needed by the user of funds for establishing a new business unit.
Merchant banks play an important role in mobilizing small savings and channeling them to productive investment.
Since our capital market is not as efficient as others, yet it tries at best to create a strong, fair, efficient and effective market. Apart from they facilitate merchant bank so that they can help as possible as to organize such a valuable capital market mechanism.
1.2 Rationale of the study
The rationality of our study on capital market as well as its right hand merchant bank is to know and understand how they do their operation locally and globally. We, the students of Finance and Banking department should know top to bottom of the capital market. To study on this vital topic our motivation was our respected teachers and potential members of capital market and merchant banks who helps us to show the right way of finding our study topics and materials on which we can analyze.
1.3 Objective of the study
Some days ago, entire world faced a financial crisis. Analysts said it was horrible for world economy and the only reason was capital market operation. In advanced country, we see that they about all deals with capital market with some fictitious assets. They may overcome that problem because they know very much about capital market. If this type of problem would occur in our country, it was a