1 / 6

Financial Institutions and Markets FIN 304

Financial Institutions and Markets FIN 304. Dr. Andrew L. H. Parkes Day 17 “How do financial markets work?”. 卜安吉. First, A Look Back and at Friday. Chinese shares end more than 7% lower – Tuesday, Jan. 22. The benchmark Shanghai Composite Index tumbled 7.22% to close at 4,559.75 points.

hoai
Download Presentation

Financial Institutions and Markets FIN 304

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Financial Institutions and MarketsFIN 304 Dr. Andrew L. H. Parkes Day 17 “How do financial markets work?” 卜安吉

  2. First, A Look Back and at Friday Chinese shares end more than 7% lower – Tuesday, Jan. 22 The benchmark Shanghai Composite Index tumbled 7.22% to close at 4,559.75 points. ·… Friday, February 15: Mainland China's benchmark Shanghai Composite Index, which tracks both Class A and Class B shares, ended down 1.2% at 4497.13. China’s stocks did they fall? Before Friday, the Shanghai Composite was actually higher than on Jan. 22 !!! Financial Institutions & Markets, Day 17

  3. Credit Default Insurance Courtesy source: NY Times, accessed on February 17, 2008 http://www.nytimes.com/2008/02/17/business/17swap.html?hp Financial Institutions & Markets, Day 17

  4. Credit Default Insurance FGIC – Privately held (including Blackstone Group – China) Ambac – the first MBIA – the largest and most important due to its size. Is not yet willing to go along with the FGIC plan. The Three Credit Insurance Companies Financial Institutions & Markets, Day 17

  5. Credit Default Insurance Notice that the Credit Default Insurance Market is 2x the U.S. Stock Market! Financial Institutions & Markets, Day 17

  6. Credit Default Insurance • Points to take note of that we will consider during the next two weeks: • What is a swap? • What is a derivative? • What is the Credit Default Insurance Market? • How does the market operate? Financial Institutions & Markets, Day 17

More Related