Category: Others

Risks Faced By Banks It is often said that profit is a reward for risk bearing. Nowhere is this truer than in the case of banking industry. Banks are literally exposed to many different types of risks. A successful banker… Read more

Credit cards have become an increasingly important part of every consumer’s finances. Banks now have more credit card customers than they have savings bank accounts. However, the product is relatively new. As a result, banks may not have anticipated the… Read more

Intermediaries to a Credit Card Transaction In the past couple of decades, banks have started providing a new type of product called the credit card. The credit card is a revolving line of credit which is offered to customers. Customers… Read more

Technology and Banking Delivery Channels Technology has touched every aspect of our lives in the recent years and banking has been no exception. Huge strides made by information technology have allowed banks to provide much better levels of service to… Read more

How Reserve Requirements Work ? RESERVE Requirements are one of the most important features of modern central banking. We hear about reserve requirements almost every day in the media. When central banks like the Fed change these requirements, it is… Read more

Cashless Economy: Pros and Cons Governments across the world have stepped up their fight against cash. Cash is being increasingly viewed as a curse that mankind needs to rid itself of. The goal is to move towards a cashless economy…. Read more

What is Prime Brokerage ? History of Prime Brokerage The growth in the number of hedge funds as well as the scale of their operations quickly created the need for a special kind of intermediary that would cater to their… Read more

Hedge Funds and Leverage Leverage is one of the defining features of any hedge fund. Therefore hedge funds have gained expertise in the creation and utilization of leverage. Not only do they use traditional means like equity and fixed income… Read more

Hedge Funds and Regulations Technically, the term hedge fund does not exist. In fact, the term hedge fund applies to any fund which is sold to accredited private investors and does not have to follow through with the regulation process!… Read more

Commercial Paper (CP) is an “unsecured money market instrument issued in the form of a promissory note”. These are not usually backed by any form of collaterals and is allowed to be issued only by corporate with high quality debt… Read more