Bond market innovations, Financial Management

As liberalization is gathering momentum, corporate treasures and merchant bankers are in the process of devising new products to suit the needs of investors and corporates. They are looking for something more than plain debt and equity instruments from the pack. The process of financial engineering involves creating new instruments and techniques by unpacking and rebundling the same characteristics in a different fashion to suit the ever changing needs of the issuers and investors.

The recent years have been witnessing the emergence of some innovative financial instruments in the Indian financial market.

Pure debt instruments have become almost forgotten instruments. The preference of the investors for equity to other fixed income investments has been the attractions of capital gains. Taking this cue, the companies formulated instruments with mixed features and varying attributes.

Posted Date: 9/8/2012 4:32:40 AM | Location : United States







Related Discussions:- Bond market innovations, Assignment Help, Ask Question on Bond market innovations, Get Answer, Expert's Help, Bond market innovations Discussions

Write discussion on Bond market innovations
Your posts are moderated
Related Questions
The management of Nelson plc wish to estimate their firm’s equity beta. Nelson has had a stock market quotation for only two months and the financial management feels that it would

Monte Carlo Simulation Model Monte Carlo simulation is used to analyse to what extent the valuation of the chosen company is dependent on the assumptions. Monte Carlo simulati

XYZ Energy Solutions plc (XYZ) has spent €12m designing and developing a new generation of domestic air source heat pumps. These new domestic heat pumps can easily be fitted to exi

Investors require an 11% return on a preferred stock that pays a $2.30 annual dividend.  What is the price

what is the meaning of market feasibility? What are its different types with their degree?

How does accounts receivable factoring work?  What are the benefits to the two parties involved?  What are the risks? Factoring is while one firm sells accounts receivable that i

A 10-year, 12% semi-yearly coupon bond with a par value of $1,000 may be called in 4 years at a call price of $1,050. The bond sells for $1,050. (Suppose that the bond has just bee

The United States of America issues US Treasuries, which are negotiable government debt obligations. They are popular because they are backed by the full


Categorization of management risk: Once each event has been evaluated, and been classified as to its probability and impact, the next step is to categorise those events. To do