Financial Markets & Instruments: Assets, Markets, Intermediaries, Quizzes of Finance

Download Financial Markets & Instruments: Assets, Markets, Intermediaries and more Quizzes Finance in PDF only on Docsity! TERM 1 Physical asset market DEFINITION 1 "tangible" or "real" markets; for real products TERM 2 Financial Asset Market DEFINITION 2 stocks, bonds, notes, mortgages, etc.; non-tangible items TERM 3 Spot markets DEFINITION 3 markets in which assets are bought and sold "on-the-spot", within a few days TERM 4 Futures markets DEFINITION 4 markets in which participants agree today to buy or sell an asset at some future date. TERM 5 Money Markets DEFINITION 5 markets for short-term, highly liquid debt securities. Ex. New York, London, Tokyo. Debt that is less than one year. TERM 6 Capital Markets DEFINITION 6 markets for intermediate- or long-term debt and corporate stock. Ex. NYSE debt that is more than one year TERM 7 Primary markets DEFINITION 7 markets in which corporations raise more capital TERM 8 Secondary Markets DEFINITION 8 existing, already outstanding securities are traded among investors. firms do not raise capital through these markets. TERM 9 Private markets DEFINITION 9 Transactions are negotiated directly between two parties (ex. bank loans, private debt placement in insurance companies) TERM 10 Public Markets DEFINITION 10 Standardized contracts are traded on organized exchanges (ex. common stock, corporate bonds)