财经专业英语教程教学课件作者童长清chapter3.ppt

Chapter 3 Finance Lesson 1 An Introduction to Finance Lesson 2 Properties of Financial Assets Lesson 3 Classification and Innovation of Financial Assets Lesson 4 An Introduction to Financial Institutions Chapter 3 Finance Lesson 5 The Financial Institution System in China (1) Lesson 6 The Financial Institution System in China (2) Lesson 7 An Introduction to Financial Markets Lesson 8 Money Market and Capital Market Lesson 9 The Primary Market and the Secondary Market Lesson 1 An Introduction to Finance Finance includes currency circulation, credit activities and other related economic activities. In a broad sense, finance refers to all the economic activities concerning the issuing, keeping, exchanging and settling of credit money, and even refers to the bullion trading. In a narrow sense, finance means the circulation of credit money. 1. Composition of the Financial System Generally speaking, the financial system which provides a framework for the cash flow within a specific economic entity is an organic system with the combination of a series of financial elements such as various financial instruments, institutions, markets and regulations so as to achieve the financing function of funds. Lesson 1 An Introduction to Finance To be more specific, the major elements existing in a financial system are: financial assets or instruments (as transaction objects), financial institutions (as financial intermediaries or transaction subjects), financial markets (as transaction places) and financial mechanisms and regulations (as organizational forms and systematical guarantee for transaction activities). 2. Functions of the Financial System The modern financial system involves the eight basic functions as follows: savings and investment; financing; financial resources allocation: liquidity promotion: risk management: liquidation and settlement: information reference: and transferring the effects of financial policies. Lesso