Date post: | 06-Aug-2015 |
Category: |
Economy & Finance |
Upload: | manu-thakur |
View: | 23 times |
Download: | 2 times |
3
CORPORATE FINANCECorporate finance is primarily concerned with maximizing shareholder value through long-term and short-term financial planning and the implementation of various strategies. Everything from capital investment decisions to investment banking falls under the domain of corporate finance.
4
Corporate Finance - ProfileFund mobilisation
Long term Project finance – equity / debt
Working capital – debt including bank funding
Short term Working capital / Funding mismatch
Day-to-day functioning
Debt servicing
Working capital management - including cash
Treasury management - Investment of surplus funds
Managing legal covenants relating to funding
5
Corporate Finance – Profile (contd.)Strategic issues
Feasibility study of proposed expansion projects
Feasibility of M&A issues – pricing structure
Dividend policies
Re-financing issues
Interest cost reduction operations
Role in operational cost control
Credit policy formulation, operation and control
6
FINANCIAL-SERVICES
it can be defined as the products and services offered by institutions like banks of various kinds for the facilitation of various financial transactions and other related activities in the world of finance like loans, insurance, credit cards, investment opportunities.
7
1. Facilitating transactions (exchange of goods and services) in the economy.2. Mobilizing savings (for which the outlets would otherwise be much more limited).3. Allocating capital funds (notably to finance productive investment).4.Monitoring managers (so that the funds allocated will be spent as envisaged).
FUNCTIONON OF FINACIAL-SERVICE
8
Financial ServicesNBFC Business
Leasing & HP Corporate funding Syndication Own Treasury management Portfolio Management Services
FACTORING services
CREDIT RATING
9
NON-BANKING FINAICIAL COMPANY
NBFCs, are financial institutions that provide banking services, but do not hold a banking license. These institutions are not allowed to take deposits from the public. all operations of these institutions are still covered under banking regulations.
The number of non-banking financial companies has expanded greatly in the last several years as venture capital companies, retail and industrial companies have entered the lending business.
10
FACTORING SERVICES
A financial intermediary that purchases receivables from a company. A factor is essentially a funding source that agrees to pay the company the value of the invoice less a discount for commission and fees. The factor advances most of the invoiced amount to the company immediately and the balance upon receipt of funds from the invoiced party.
11
CREDIT RATING
A credit rating can be assigned to any entity that seeks to borrow money – an individual, corporation or state Credit assessment and evaluation for companies and governments is generally done by a credit rating agency such as Standard & Poor’s or Moody’s. These For individuals, credit ratings are derived from the credit history maintained by credit-reporting agencies such as Equifax, Experian and Trans Union.
12
Financial Services (contd.)
BROKING Equity broking
Retail – research / advisory
Institutional broking - relationship, dealers, research
HNI – relationship, advisory
FIXED INCOME Institutional – relationship, dealer, research
Proprietory – treasury management
Commodities Research
13
Financial Services (contd.)
Banking AppraisalCorporate RelationshipTreasuryBill discountingTerm loanRetail operationsRisk managementForex
14
INSURANCES
Insurance is an economic institution that allows the transfer of financial risk from an individual to a pooled group of risks by means of a two-party contract. Insurers may offer fixed, specified coverage or replacement coverage, which takes into account the increased cost of putting the structure back to its original condition.
17
Financial Services (contd.)
InsuranceRisk assessmentPolicy formulationTreasuryProject Appraisal Funding operationsEquity operations – Research,
portfolio management
18
MUTUAL -FUND Mutual funds are operated by money
managers, who invest the fund's capital and attempt to produce capital gains and income for the fund's investors.
One of the main advantages of mutual funds is that they give small investors access to professionally managed, diversified portfolios of equities, bonds and other securities, which would be quite difficult
20
Derivative market
It is another important scope of financial services, That is Derivative market. A security
whose price is dependent upon or derived from one or more underlying assets. . Its
value is determined by fluctuations in the underlying asset. The most common
underlying assets include stocks, bonds, commodities, currencies, interest rates and
market indexes. Most derivatives are characterized by high leverage.
21
CONSULTING
Corporate Consulting◦Syndication
◦Credit profile advisory
◦M& A advisory
◦Project advisory
◦Risk advisory
◦Forex advisory
Retail advisory◦Wealth management –
insurance/equity/fixed income/ tax advisory/property/art/...