Stay Ahead with the Power of Upskilling - Invest in Yourself! 
Collateralised Mortgage Obligations
6 Comments
CMOs originated in the USA in 1983 after they were introduced by First Boston and The Federal Home Mortgage Loan Corporation.…
Mortgage Backed Securities
The Federal National Mortgage Association (Fannie Mae) was set up in 1948 by the government to encourage home ownership in the…
Asset Backed Securities
The issue of asset backed securities is the process whereby traditional bank assets (for example, mortgages) are sold by a bank…
Money supply, Monetary Control or Price Stability
A country’s money supply is defined as currency in circulation outside the banking system plus deposits held at banks.36 Banks play…
Financial Derivatives
Financial Derivatives are instruments that allow financial risks to be traded directly because each derivative is linked to a specific instrument…
Swaps
Swaps are contracts to exchange a cash flow related to the debt obligation of two counter parties. The main instruments are…
Why Banks use Derivatives
Why Banks use Derivatives It is important to be clear on the different uses of these instruments by the banking…
Prudential Control
Why is Prudential Control important in an economy? The central bank (or another government institution) is expected to protect the economy…
Transactional Banking
An arms-length Transactional contract banking is at the other extreme and gives rise to transactional banking – where many banks…
Financial Systems
Financial systems are usually perform the essential economic function of channeling funds from lander-saver (who have saved surplus funds) to…