Professional Documents
Culture Documents
NATIONAL UNIVERSITY
Faculty of Economics and
Administrative Sciences
Department of Finance
Financial Markets
Course Code 51458
Chapter 1
Why Study Financial Markets and
Institutions?
Dr. Muath Asmar
Chapter Preview
The evening news features a segment
about stock markets, and liquidity in credit
markets.
What does all this mean?
Do I care about financial news?
What is the financial markets?
2012 Pearson Prentice Hall. All rights reserved.
1-2
Chapter Preview
These are good questions.
And this course will help you answer these
questions by addressing a variety of topics
ranging from the functioning of the bond
and sock markets to the behavior of the
Fed and banks.
1-3
Chapter Preview
To start, we preview subjects of interest to anyone who is
a part of a productive society. We motivate how financial
markets and institutions have significant impact on
important questions about our financial well-being. Topics
include:
Why Study Financial Markets?
Why Study Financial Institutions?
Applied Managerial Perspective
How Will We Study Financial Markets and Institutions
2012 Pearson Prentice Hall. All rights reserved.
1-4
1-5
1-6
1-7
1-8
1-9
1-10
1-11
1-12
Stock
Market
1-13
1-14
1-15
1-16
1-17
2.Financial Crises
The financial crises of 20072009 was the worst
financial crisis since the Great Depression. Why did it
happen?
1-18
1-19
6. Financial Innovation
Focusing on the improvements in technology and
its impact on how financial products are delivered
1-20
1-21