Money Markets vs Capital Markets Essay

The grocery where works of tears and pecuniary assets ar complete for short fourth dimension is called notes trade. On the other end, gravid mart is meant that market where transactions of property and financial assets ar occurred for a extensive period. * Institutions Important institutions operating in the m cardinaly market are central borders, commercial message banks, acceptance houses,non bankfinancial institutions, bill brokers. Important institutions of the cracking market are stock exchanges, commercial banks and non bank institutions, such(prenominal) as insurance companies, mortgage banks, construct societies. Transactions Period In coin market transactions are accomplished for one or less than one year. While metropolis market transactions are for long time.* Nature of opinion Instruments The identification instruments dealt with in the capital market are more heterogeneous than those in bullion market. Some homogeneity of credit instruments is nee ded for the operation of financial markets. as well as much diversity creates problems for the investors. * Risks Since investment funds of this market is for a short-term, the put on the line of bills is low. In capital market the risk of money and loan defaulters are high. Instruments Cash dollar, treasury bills, commercial papers are use as the instrument in money market. On the other end, Shares, debentures, long-term bonds are the instruments of capital market. * Transaction Procedures Since fewer formalities are needed in money market therefore, transactions cost is overly minimum. While, many formalities are required in making capital market transaction successful and therefore its transaction cost is little bit higher(prenominal) than the money market. * Relation with Government potency The money market is closely and now linked with central bank of the country.The capital market feels Securities and Exchange Commission (SEC) as well as central banks influence, but mainly indirectly and through the money market. Customer-centric Business model * Grow assets under guidance with real time analysis of client activity and change interaction * Measure and report on the state of customer relationships and profitability in real time with business analytics * modify customer experience crossways bring * Capture investment profiles to target offers and leads, magic spell shortening sales cycles and increasing investment offers EffectiveRisk Management * traction compliance issues, regulatory requirements, security, and other working(a) risks without burdening existing operations * Provide real time and near real-time actionable customer and proceeds profitability insight, delivered to the front topographic point * Manage security exposure, market, and operations risk * Support centralized and consistent get down of regulatory data for MiFID and KYC requirements Operational specialty * Streamline project trouble, simplify procurement, and possess the almost your firms most important assetemployees * Reduce operative risk with end-to-end financial management * Manage projects more efficiently and efficaciously * Transform corporate procurement with strategic sourcing capabilities Next-generation Services * Evolve to an agile, intelligent, and secure programme * Increase competitiveness by enabling new, intelligent services, while consolidating legacy systems * change new services across product silos with service-enabled processes and applications * Gain real-time insight across channels with business intelligence for capital markets * Secure customer data and advance for risk and compliance reporting with opening move security and identity management * selectively consolidate legacy systems onto an open-standard platform with enterprisingness grid computing and content management