How can we raise the capital specification for shadow banks and depository institutions and make them counter-cyclical?

Q: Which of the following issues is least relevant to treasury​ management?

A: Treasury Management: It involves managing the holdings of an enterprise, with the primary purpose of…

Q: How do banks assess the risk appetite of each customer in terms of choosing the right investment?

A: Risk appetite is the ability to absorb or undertake a level of investment risk by the investor. This…

Q: Explain the concept of efficient markets.  Are the equity capital markets inefficient?

A: Introduction: The given question is related to the concept of efficient market hypothesis. It is a…

Q: Is it financial expediency for firms to borrow?

A: The acquisition of debt funds by businesses is far more convenient than any form of funds and far…

Q: regulators

A: Banking regulators serve as a guidepost to monitor the activities of banks across the region. They…

Q: What are the benefits of a capital market that works well and efficiently and has a deep and diverse…

A: The capital market is a sub-part of the financial market. The financial market involves the money…

Q: What are the main sources of funding for commercial banks?

A: Banks are a financial institution that receives money from customers and makes a loan to the…

Q: How does additional debt in a firm influence its WACC? its free cash flow (FCF)? the agency costs of…

A: Debt is the presence of additional financial leverage in the total business and it will be having…

Q: What is capital rationing? What types of firms might encounter capital rationing?

A: A plan adopted by any organization to limit the several new projects or investments in any…

Q: What is meant by the ''institutionalization'' of capital markets?

A: ''Institutionalization'' of capital markets refers to the gradual domination of the capital markets…

Q: Discuss the concept of capital in terms of finance and the ways it is raised deliberately.

A: Capital is form finance.Money is raised through different resources and used for doing business over…

Q: What is the role of investment banks and how can they help companies raise capital?

A: Solution-   Investment banks are a bridge between investors and also the massive enterprises. The…

Q: Bank-based systems of financing non-financial companies are more effective than capital market-based…

A: Financial systems can help to keep domestic savings at home if they are well-governed. Financial…

Q: efly explain how banks can optimize their position through managing their use of currencies?

A: Step 1   Significant restructuring of the treasury structure and the way companies interact with…

Q: Explain how commercial bank mange it balance sheet to maximize its profit without affecting the…

A: Commercial Banks are financial institutions accepting deposits from borrowers and using the deposits…

Q: What is the difference between Investment Banks and regular Banks? explain one small paragraph.

A: Introduction: Investment banks are those banks that are specialize in providing institutional bodies…

Q: Describe the role of capital markets in the capital cycle.  What, exactly do they do?

A: Capital markets play a systematic and tangible role in the capital cycle.

Q: What is the impact of cryptocurrency on the economy? Explain thoroughly.

A: Cryptocurrencies are digital or virtual tokens that use cryptography to secure and verify…

Q: Why does the Businesses go to the capital markets?

A: Capital markets are a place where the process of channelization of savings and investments takes…

Q: how do banks improve their net profit margin to increase Return on Equity?

A: Return on Equity (ROE) measures the company’s net income to the value of its total shareholders’…

Q: what is ADVANTAGES AND DISADVANTAGES OF THIS MORATORIUM FOR THE BANKS AND BORROWERS? provide…

A: A moratorium is a temporary cessation of activity until future circumstances necessitate its lifting…

Q: Identify the waysin which banks canmanage their assetsand liabilities to maximize profit

A:

Q: How does capital protect a bank from failure?  Why are banks currently holding capital well above…

A: Introduction: Capital is a bank's own funds and it is the money obtained from its shareholders and…

Q: By chance do you know the answer for the financing activities?

A: Cash flow statement has 3 parts :Cash flow from Operating ActivitiesCash flow from Investing…

Q: Explain the concept of cointegration with examples from Finance where cointegration between a set of…

A: Finance is a vast field and involves the study of a financial or monetary system and various…

Q: HOW IS BLOCKCHAIN TRANSFORMING CAPITAL MARKETS?

A: Blockchain is a mechanism that facilitates digital transactions such as recording transaction…

Q: Provide an example of Decentralised Finance (Defi) and critically examine the effect of Defi on…

A: Decentralised Finance (DeFi), which challenges conventional banking structures and ushers in a new…

Q: What are the disadvantage of embracing digital currencies in investment or financial transaction?

A: Digital money is money that only exists in digital form. This is neither a tangible item like…

Q: The pecking order theory of capital structure suggests that managers will choose to utilise retained…

A: Pecking Order theory is an important theory in finance. It tells that the for funding purposes…

Q: How banks can improve their return on equity and what are its negative externalities.

A: RoE is ubiquitous in banks, serving as both an indicator of overall performance and a means of…

Q: Why is working capital a particularly important area of concern for financialmanagers?

A: Managing working capital is an important concern to financial managers because this affects an…

Q: Why are efficient capital markets necessary for economic growth?

A: Capital Markets are the markets that accelerate the transactions of securities with specified term…