B Com Exam  >  B Com Questions  >  Functions of financial system Related: Struc... Start Learning for Free
Verified Answer
Functions of financial system Related: Structure of Financial System ...
Functions of Financial Markets
Financial markets create an open and regulated system for companies to acquire large amounts of capital. This is done through the stock and bond markets. Markets also allow these businesses to offset risk. They do this with commodities, foreign exchange futures contracts, and other derivatives.

Since the markets are public, they provide an open and transparent way to set prices on everything traded. They reflect all available knowledge about everything traded. This reduces the cost of obtaining information because it's already incorporated into the price.
The sheer size of the financial markets provides liquidity. In other words, sellers can unload assets whenever they need to raise cash. The size also reduces the cost of doing business. Companies don't have to go far to find a buyer or someone willing to sell.
This question is part of UPSC exam. View all B Com courses
Explore Courses for B Com exam
Functions of financial system Related: Structure of Financial System - Financial Markets and Institutions?
Question Description
Functions of financial system Related: Structure of Financial System - Financial Markets and Institutions? for B Com 2024 is part of B Com preparation. The Question and answers have been prepared according to the B Com exam syllabus. Information about Functions of financial system Related: Structure of Financial System - Financial Markets and Institutions? covers all topics & solutions for B Com 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Functions of financial system Related: Structure of Financial System - Financial Markets and Institutions?.
Solutions for Functions of financial system Related: Structure of Financial System - Financial Markets and Institutions? in English & in Hindi are available as part of our courses for B Com. Download more important topics, notes, lectures and mock test series for B Com Exam by signing up for free.
Here you can find the meaning of Functions of financial system Related: Structure of Financial System - Financial Markets and Institutions? defined & explained in the simplest way possible. Besides giving the explanation of Functions of financial system Related: Structure of Financial System - Financial Markets and Institutions?, a detailed solution for Functions of financial system Related: Structure of Financial System - Financial Markets and Institutions? has been provided alongside types of Functions of financial system Related: Structure of Financial System - Financial Markets and Institutions? theory, EduRev gives you an ample number of questions to practice Functions of financial system Related: Structure of Financial System - Financial Markets and Institutions? tests, examples and also practice B Com tests.
Explore Courses for B Com exam
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
10M+ students study on EduRev