Financial Markets
In the strict definition of economics, financial markets are the aggregate group of probable buyers and sellers in one place. In olden times, this market has to have a physical presence such as the New York Stock Exchange on Wall Street. However, new technology allows the definition of a financial market completely in cyberspace such as the NASDAQ which is the largest securities trading market doing trades totally electronically. But whatever is the definition, financial markets in today’s global economy are maintained primarily to provide the mechanism where capital by investors is made available to those who need it for their businesses. Financial markets are being closely regulated and watched by government watchdog agencies to prevent manipulation by some traders and to protect the investing public. In essence, stock exchanges (as financial markets are more commonly known to the general public) provide a very important function which is to give liquidity to trades in stocks, bonds and commodities. Liquidity allows a buyer to easily sell his holdings anytime he wants at low transaction costs in the most efficient manner. But recent events such as the panic in Wall Street the past week indicates that these markets are still subject to the psychology of trading which are composed of greed and fear.
Innovative Marketing System
Site Name: Asian Development Bank
Domain Name: http://www.adb.org/Documents/Profiles/PPTA/36197012.ASP
Summary: The ADB has taken a pro-active stance with regards to helping nations in the region develop their financial markets as an engine for national growth. The aim of this endeavour is to help poor countries improve their financial markets governance program and be able to attract foreign direct investments.
Site Name: Bangko Sentral ng Pilipinas (Central Bank of the Philippines)
Domain Name: http://www.bsp.gov.ph/financial/overview.asp
Summary: The official website of the central monetary authority in the Philippines. It gives an overview of the functions of the financial markets such as channelling excess funds from savings into financial investments to promote national economic development.
Site Name: Financial Times
Domain Name: http://www.ft.com/markets
Summary: An excellent newspaper to subscribe to. It provides 40 daily updates by sector and gives the reader the option to read 30 highly interesting articles per month.