Financial Markets and Institutions, 2026 – Lecture Notes and Study Material

Financial Markets and Institutions, 2026 – Lecture Notes and Study
Material


direct transfers - ANS✔✔ occurs when a business sells its stocks or bonds directly to savers,
without going through any type of financial institution



underwriter - ANS✔✔ a middleman who facilities the issuance of secrutities



physical asset market - ANS✔✔ markets for products such as wheat, autos, real estate,
computers, and machinery



financial asset market - ANS✔✔ markets that deal with stocks, bonds, notes, mortgages, and
derivative securities



spot markets - ANS✔✔ markets in which assets are bought or sold for "on-the-spot" delivery



futures markets - ANS✔✔ markets in which participants agree today to buy or sell an asset at
some future date



money markets - ANS✔✔ markets for short term, highly liquid debt securities



capital markets - ANS✔✔ markets for intermediate or long-term debt and corporate stocks



primary markets - ANS✔✔ markets in which corporations raise new capital



secondary markets - ANS✔✔ markets in which existing, already outstanding securities are
traded among investors