What is

insurance?
Date: 18/8/2009
 Introduction
The last decade had three major trends in
the global financial markets which are of
utmost importance to the emerging
countries.
First is the convergence between different
financial services.
Second is the significant increase of the role
of information technology.
The third is the global reach of these
instructions and institutions which brings to
focus the inadequacies of the existing
Financial conglomerates: are defined
as the group of companies under
common control whose exclusive or
predominant activities consist of
providing significant services in at least
two different financial sectors namely
banking, securities, insurance.
Changing face of banking

The banking industry is known in the

past hundred years, is passing through
significant changes which will have far
reaching consequences for the
financial system.
The change are forcing the banking
institutions across countries, electronic
banking, and entry of banks into the
security industries and insurance.
The takeover of
– Dresdner by deutsche bank in
Germany.
– National Westminster bank by
royal bank of Scotland
– The merger of UBS and Swiss bank
corporation.
ATMs
Credit cards
Debit cards
Bonds
Certificates
Trends in the securities industry

The trends of a global securities

market is a result of three major
trends;
The significant increase in the demand
for a global security market.
The second relates to regulation which
has opened up the worlds economies
and stock markets. This has increased
the breadth and depth of investment
opportunities for investors across the
The third factor is the changes, which
have come about in technology. Screen
based trading system in stock markets.
Pension funds

The growth in the global pension fund

industry is surprising. The global
pension funds in 1999 was more than
$11 trillion and in 2004 its $15 trillion.
The pension funds of Us, Japan and UK
accounted for more than 80 percent of
the total pension assets.
The private western industrial
economies has raised steadily in the
line of growing income.
Diversification: the pensions fund
assets is growing with the overseas
diversified pension decisions, and
enlarging the scope of the global
market.
Privatization and equity issues

The eighties saw the process of

deregulation, which results In a
massive dose of privatization and
international equity offerings.
in the nineties coupled with the
success of UK with its privatization
program me have resulted in state sell-
off every where in the world.
The increased in share of privatized
corporations around the world has
The expansion of privatization is not
restricted to the developed markets, but
also to the developing and
underdeveloped countries.
The process of liberalization (free
thoughts) also played an important role
in the removal of exchange controls in
many countries and this has facilitated
access to global markets by domestic
companies.
Thanks

Sayed Aziz Jamalzai

Northeast Projects Assistant for HAS-
Afghanistan
Aziz.jamalzai@gmail.com