Financial Institutions and Markets

Paper Code: 
CBTM 603
Credits: 
4
Contact Hours: 
60.00
Max. Marks: 
100.00
Objective: 

• Create understanding of the structure of Indian financial system.

• Create the understanding of the secondary market, debt market and mutual funds.

Course

Learning outcomes

(at course level)

Learning and teaching strategies

Assessment

Strategies

Course Code

Course Title

CBTM 603

Financial Institutions and Markets

CO 176 Understand the structure of Indian financial system.

CO 177 Learn the overview of financial institutions.

CO 178 Enable to understand the functioning of secondary market in India.

CO 179 Understand the concept of debt market and mutual funds.

CO 180Learn about money market and its instruments.

CO 181 Develop an insight on the financial markets.

Approach in teaching:

Interactive Hours,

Discussion, Tutorials, Reading

assignments, Demonstration

Learning activities for the students:

Self learning assignments,

Effective questions, Seminar presentation, Group tasks

Class test, Semester end

examinations, Quiz,

Assignments, Presentation,

Individual and group projects

 

12.00
Unit I: 

Indian Financial System: Introduction, Structure of Financial system, Functions of Financial System, Determinants of Supply and Demand of Funds, Financial System and Economic Development, Currency and Money Supply in India, Risks to Financial System

12.00
Unit II: 

Financial Institutions in India: Overview, Types of Financial Institutions- Development Banks, Investment Institutions, Insurance Companies, Housing Finance Institutions, Commercial Banks, Co-operative Banks, Non-Banking Financial Companies
Reserve Bank of India – Organisation, Functions and Roles
Securities and Exchange Board of India – Organisation, Objectives, Scope and Functions

12.00
Unit III: 

Financial Markets: Meaning, Objectives, Role, Classification of Financial Markets
Capital Market: Meaning, Structure, Capital Market Instruments, Primary Market – Functions, Primary Market Operations; Secondary Market – Meaning, Importance, Functions of Stock Market, Factors affecting Stock market, Stock Exchanges in India; DEMAT Account – Meaning, Steps in opening a DEMAT Account

12.00
Unit IV: 

Debt Market: Concept, Importance, Classification, Market for Government Debt, Government Bonds VS Corporate Bonds
Mutual Funds: Meaning, Features, Functions, Classification of Schemes, Advantages

12.00
Unit V: 

Money Market: Meaning, Role, Characteristics, Significance, Money market Instruments, Recent Development and Deficiencies of Indian Money Market

Essential Readings: 
  • M Y Khan, Indian Financial System, McGraw Hill Publishing
  • Meir Kohn, Financial Institutions and Markets, Oxford University Press
  • L M Bhole, Financial Institutions and Markets: Structure, Growth & Innovations, Tata McGraw-Hill
  • Vasant Desai, Financial Markets and Financial Services, Himalaya Publishing House

 

References: 
  • Shahani, Rakesh, Financial Markets in India: A Research Initiative, Anamica Publications
  • Goel, Sandeep., Financial services, PHI
  • Gurusamy, S., Financial Services, TMH
  • Saunders, Anthony & Cornett, Marcia Millon, Financial Markets and Institutions, Tata McGraw Hill 

 

Academic Year: