• Bài giảng Financial Markets - Lecture 15: Investment Banking and Secondary MarketsBài giảng Financial Markets - Lecture 15: Investment Banking and Secondary Markets

    Glass-Steagall Act 1933 The modern concept of “Investment Bank” was created in the Glass-Steagall act (Banking Act of 1933). Glass Steagall separated commercial banks, investment banks, and insurance companies. Carter Glass, Senator from Virginia, believed that commercial banks securities operations had contributed to the crash of 1929, that bank...

    ppt23 trang | Chia sẻ: nguyenlinh90 | Ngày: 20/07/2019 | Lượt xem: 621 | Lượt tải: 0

  • Bài giảng Financial Markets - Lecture 14: Monetary PolicyBài giảng Financial Markets - Lecture 14: Monetary Policy

    Bank of England 1694 Granted monopoly on joint stock banking by Parliament in return for war loans. Not an invention of economists, started off as a powerful bank that was able to demand that other banks held deposits in it. Did not have government monopoly on note issue, but achieved it through its monopoly power.

    ppt27 trang | Chia sẻ: nguyenlinh90 | Ngày: 20/07/2019 | Lượt xem: 469 | Lượt tải: 0

  • Bài giảng Financial Markets - Lecture 13: BanksBài giảng Financial Markets - Lecture 13: Banks

    What Are Banks? Commercial Banks: Principal activity: receives deposits and makes loans. Investment banks (US): Purchaser or underwriter of large blocks of securities, reseller of them. The word “bank” is misleading, since according to the Glass Steagall Act 1933 they could not accept deposits. Central Banks

    ppt25 trang | Chia sẻ: nguyenlinh90 | Ngày: 20/07/2019 | Lượt xem: 466 | Lượt tải: 0

  • Bài giảng Financial Markets - Lecture 12: Real EstateBài giảng Financial Markets - Lecture 12: Real Estate

    Real Estate: an Important Asset Class Until recent stock market boom, single family homes value in US approximated value of entire stock market. Home mortgages 1999: $4.62 trillion Consumer credit is only 1.46 trillion. US National debt held by public is only $3 trillion (Source: FRB, Balance Sheets for US Economy)

    ppt34 trang | Chia sẻ: nguyenlinh90 | Ngày: 20/07/2019 | Lượt xem: 486 | Lượt tải: 0

  • Bài giảng Financial Markets - Lecture 11: Corporate Equity, Debt and TaxesBài giảng Financial Markets - Lecture 11: Corporate Equity, Debt and Taxes

    Leverage Corporate Leverage is measured by Debt D divided by equity E. Highly levered firms court bankruptcy Unlevered firms cannot go bankrupt (Microsoft owned $5.9 billion of other firms’ long-term debt and $23.8 billion in cash and short-term investments in 2000.

    ppt20 trang | Chia sẻ: nguyenlinh90 | Ngày: 20/07/2019 | Lượt xem: 452 | Lượt tải: 0

  • Bài giảng Financial Markets - Lecture 10: Corporate Equity, Earnings and DividendsBài giảng Financial Markets - Lecture 10: Corporate Equity, Earnings and Dividends

    The Corporation [1611] A body corporate legally authorized to act as a single individual, an artificial person created by royal charter, prescription, or act of legislature, and having authority to preserve certain rights in perpetual succession. (OED) Compare publicani of ancient Rome, essentially corporations (though the most prominent were pri...

    ppt22 trang | Chia sẻ: nguyenlinh90 | Ngày: 20/07/2019 | Lượt xem: 531 | Lượt tải: 0

  • Bài giảng Financial Markets - Lecture 9: Debt Markets and Term StructureBài giảng Financial Markets - Lecture 9: Debt Markets and Term Structure

    Discount Bonds No coupon payments, just principal at maturity date (conventionally, $100). Initially sold at a discount (less than $100) and price rises through time, creating income.

    ppt24 trang | Chia sẻ: nguyenlinh90 | Ngày: 20/07/2019 | Lượt xem: 549 | Lượt tải: 0

  • Bài giảng Financial Markets - Lecture 8: Human Foibles, Fraud, and RegulationBài giảng Financial Markets - Lecture 8: Human Foibles, Fraud, and Regulation

    “Millionaire in the Making” money.cnn.com Dave Farley earns $120k as manager at Ford plant Saves $1600 per month Net worth $270,000 Plans to retire in 10 years age 45with $1 million (at r=3.5% this gives annuity income of $54k for 30 years, half what he consumes now) Calculations imply he expects return of 10%/year.

    ppt36 trang | Chia sẻ: nguyenlinh90 | Ngày: 20/07/2019 | Lượt xem: 505 | Lượt tải: 0

  • Bài giảng Financial Markets - Lecture 7: Behavioral FinanceBài giảng Financial Markets - Lecture 7: Behavioral Finance

    Questionnaire, Part I Give 90% Confidence Interval How much does the Statue of Liberty weigh, in tons? (entire steel-reinforced copper figure) What is the 2000 population of Turkey? How many square miles in Sahara Desert? Endowment of Yale University as reported in 1998-9 Support of Education Survey? How much, in dollars, does one receive if o...

    ppt22 trang | Chia sẻ: nguyenlinh90 | Ngày: 20/07/2019 | Lượt xem: 497 | Lượt tải: 0

  • Bài giảng Financial Markets - Lecture 6: Efficient Markets and Excess VolatilityBài giảng Financial Markets - Lecture 6: Efficient Markets and Excess Volatility

    The Efficient Markets Hypothesis History of the Hypothesis Reasons to think markets are efficient Reasons to doubt markets are efficient Technical analysis Empirical evidence in literature Homework assignment and regressions

    ppt26 trang | Chia sẻ: nguyenlinh90 | Ngày: 20/07/2019 | Lượt xem: 562 | Lượt tải: 0