【财英】Lesson Eight.ppt

Lesson Eight Open-End Fund A type of mutual fund that does not have restrictions on the amount of shares the fund will issue. If demand is high enough, the fund will continue to issue shares no matter how many investors there are. Open-end funds also buy back shares when investors wish to sell. The majority of mutual funds are open-end. By continuously selling and buying back fund shares, these funds provide investors with a very useful and convenient investing vehicle. close-ended fund It is a publicly traded investment company that raises a fixed amount of capital through an initial public offering (IPO). The fund is then structured, listed and traded like a stock on a stock exchange. The Society for Worldwide Interbank Financial Telecommunication (SWIFT) It provides a network that enables financial institutions worldwide to send and receive information about financial transactions in a secure, standardized and reliable environment. It also sells software and services to financial institutions, much of it for use on the SWIFTNet Network. Business Identifier Codes (BICs) are popularly known as SWIFT codes. More than 10,800 banking organisations, securities institutions and corporate customers in over 200 countries. The American Bankers Association (ABA) It is a Washington-based trade association for the U.S. banking industry. Like many large trade associations, ABAs principal activities include lobbying, professional development for member institutions, maintenance of best practices and industry standards (for example, routing transit numbers), consumer education, and distribution of products and services. ABA is considered the largest financial trade group in the United States. Letter of Credit Example – How Money and Documents Move An letter of credit (L/C) is a promise from a bank to make a payment assuming certain conditions are met. Step 1. Let’s do This! Applicant (Buyer or Importer) Beneficiary (Supplier or Exporter) I’d like to buy I’d like to