Module_7 - Module 7 Learning Goals: To understand the...

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Module 7
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± Learning Goals: To understand the business of intermediaries in banking, To understand the types of operation o know the items on the balance sheet and the profit and To know the items on the balance sheet and the profit and loss account. To know how intermediaries in the banking system are lassified and their characteristics their historical background classified and their characteristics, their historical background and the evolution of the business. ± Context: Students must imagine they are carrying out a consultancy project for a financial group, analysing the possibility of creating a new financial intermediary in the Spanish market. They must be able to identify the setup requirements, the type of intermediary and the nature of the business that will be onducted. conducted. 2
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± verview: Overview: Definition of Financial Intermediary ypes of operation Types of operation Balance sheet and profit and loss accounts ypes of Intermediaries Types of Intermediaries Banks avings banks Savings banks Loan Cooperatives nalysis of the current state of the sector Analysis of the current state of the sector ± Continuous assessment: Project on articles and Internet content 3
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efinition f inancial Definition of Financial Intermediary
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Financial Intermediary ± These are institutions that act as intermediaries between surplus ac a t e e d a y spending units and deficit spending units, and put them in touch with one another. he aim is to reduce costs and give the option to transform ± The aim is to reduce costs and give the option to transform instruments so that they are more attractive to both parties. ± Financial Intermediaries perform a fundamental role in the economy, issue financial instruments that allow savers to materialise their savings and enable lenders to mobilise funds for nancing (reducing costs and logistics) They are the alternative financing (reducing costs and logistics). They are the alternative to the financial markets. ± This transformation of instruments to create new ones with different forms (current account, etc.) is the basic activity of Financial Intermediaries
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inancial Intermediary Financial Intermediary ± ervices Services They transform the risk of different instruments rough portfolio diversification (indivisible through portfolio diversification (indivisible economy, transaction management).
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Module_7 - Module 7 Learning Goals: To understand the...

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