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Money Market - 1 Video Lecture | Commerce & Accountancy Optional Notes for UPSC

	Commerce & Accountancy Optional Notes for UPSC 180 videos\|153 docs

Commerce & Accountancy Optional Notes for UPSC

180 videos|153 docs

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FAQs on Money Market - 1 Video Lecture - Commerce & Accountancy Optional Notes for UPSC

1. What is a money market?

Ans. A money market is a segment of the financial market where short-term borrowing and lending of funds take place. It includes instruments such as Treasury bills, commercial paper, certificates of deposit, and repurchase agreements.

2. How does the money market function?

Ans. The money market functions by providing liquidity to financial institutions and governments to meet short-term funding needs. Investors can buy money market instruments for a set period, typically ranging from one day to one year, and earn interest on their investment.

3. What are the benefits of investing in the money market?

Ans. Investing in the money market offers safety, liquidity, and competitive returns compared to traditional savings accounts. It is a suitable option for investors looking for short-term investment opportunities with minimal risk.

4. What are some common money market instruments?

Ans. Common money market instruments include Treasury bills issued by the government, commercial paper issued by corporations, certificates of deposit offered by banks, and repurchase agreements where securities are sold with an agreement to repurchase them at a later date.

5. How does the money market differ from the stock market?

Ans. The money market deals with short-term debt securities, while the stock market involves the buying and selling of ownership shares of public companies. The money market is considered less risky and more liquid compared to the stock market.

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Jan 06, 2025 Last updated

Video Description: Money Market - 1 for UPSC 2025 is part of Commerce & Accountancy Optional Notes for UPSC preparation. The notes and questions for Money Market - 1 have been prepared according to the UPSC exam syllabus. Information about Money Market - 1 covers all important topics for UPSC 2025 Exam. Find important definitions, questions, notes, meanings, examples, exercises and tests below for Money Market - 1.

Introduction of Money Market - 1 in English is available as part of our Commerce & Accountancy Optional Notes for UPSC for UPSC & Money Market - 1 in Hindi for Commerce & Accountancy Optional Notes for UPSC course. Download more important topics related with notes, lectures and mock test series for UPSC Exam by signing up for free.

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Here you can find the meaning of Money Market - 1 defined & explained in the simplest way possible. Besides explaining types of Money Market - 1 theory, EduRev gives you an ample number of questions to practice Money Market - 1 tests, examples and also practice UPSC tests.

	Commerce & Accountancy Optional Notes for UPSC 180 videos\|153 docs

Commerce & Accountancy Optional Notes for UPSC

180 videos|153 docs

Join Course for Free

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