Financial Market an Edge in Economic growth

 Having comprehensively reviewed literature from multiple sources, it is established that financial markets have impact on the economic growth of a country. A financial market is a market in which people trade financial securities, commodities, and other fungible items of value at low transaction costs and at prices that reflect supply and demand. Securities include stocks and bonds, and commodities include precious metals or agricultural goods.

Financial markets help to efficiently direct the flow of savings and investment in the economy in ways that facilitate the accumulation of capital and the production of goods and services. The combination of well developed financial markets and institutions, as well as a diverse array of financial products and instruments, suits the needs of borrowers and lenders and therefore the overall economy. Large financial markets with lots of trading activity provide more liquidity for market participants than thinner markets with few available securities and participants and thus limited trading opportunities (Leutnash1998).

Money markets:

The segment of the financial markets in which highly liquid short-term assets trade; the money market is used by participants as a means to borrow and lend on a short-term basis from several days to just under a year. Money market securities consist of negotiable certificates of deposit (CDs), banker’s acceptances, Treasury bills, commercial paper, municipal notes, federal funds, and repurchase agreements (repos).For the most part, money markets provide those with funds banks, money managers, and retail investors a means for safe, liquid, short-term investments, and they offer borrowers banks, broker-dealers, hedge funds, and nonfinancial corporations access to low-cost funds. The term money market is an umbrella that covers several market types, which vary according to the needs of the lenders and borrowers. Alternatively, Havelet Finance Limited answers all questions in the money market scenarios. As a brand name in the financial industry, we are the trusteeship of private investors. All borrowers can access funding easily with our institution.

For the short term 

These markets are described as “money markets” because the assets that are bought and sold are short term with maturities ranging from a day to a year and normally are easily convertible into cash. Money markets include markets for such instruments as bank accounts, including term certificates of deposit; interbank loans (loans between banks); money market mutual funds; Most times, the main money market basis which are banks are seemly difficult to approach when it relatively on external funding. Should they grant you access, then you would be required to pay more interest rate with a huge collateral. But Havelet Finance Limited as a brand in the industry is customer friendly. Let get you on track.

Dysfunctional markets:

Havelet Finance as a brand name in the financial/money market remains a firm with hard to sell (illiquid) financial assets, such as loans, mortgages, or receivables, You can approach us to borrow at a lower cost or to move assets off its balance sheet. 

The stock Market:

Phillip Bond et al (2011) reveal that a large amount of activity in the financial sector occurs in secondary financial markets, where securities are traded among investors without capital flowing to firms. The stock market is the archetypal example, which in most developing economies captures a lot of attention and resources. A stock market can be defined as financial establishment, which promotes capital formation and competence in capital allocation. The stock markets also enable the government and private firms to finance its new projects as well as establishing, modernizing and expanding commercial or industrial concerns through raising long term capital. 

Contact Havelet Finance Limited in all related financing and loan need.

Website: http://www.havelet-finance.com/
Email: credit@havelet-finance.com