Financial Markets and Institutions

This text describes financial markets and institutions by providing a conceptual framework to understand why markets exist and what their role is in the financial environment. Each type of financial market is described with a focus on its utilization by financial institutions, its internationalization, and recent events that have affected it. Each type of financial institution is described with a focus on its regulatory aspects, management, use of financial markets, and performance. This edition continues its strong tradition of emphasizing timely examples and practical applications, including Internet materials, and offers a unique tie into Internet resources.

• PART ONE: OVERVIEW OF THE FINANCIAL ENVIRONMENT.
• 1. Role of Financial Markets and Institutions.
• 2. Determination of Interest Rates.
• 3. Structure of Interest Rates.
• PART TWO: THE FED AND MONETARY POLICY.
• 4. Functions of the Fed.
• 5. Monetary Theory and Policy.
• PART THREE: DEBT SECURITY MARKETS.
• 6. Money Markets.
• 7. Bond Markets.
• 8. Bond Valuation and Risk.
• 9. Mortgage Markets.
• PART FOUR: EQUITY MARKETS.
• 10. Stock Markets.
• 11. Stock Valuation and Risk.
• PART FIVE: DERIVATIVE SECURITY MARKETS.
• 12. Financial Futures Markets.
• 13. Options Markets.
• 14. Interest Rate Derivative Markets.
• 15. Foreign Exchange Derivative Markets.
• PART SIX: COMMERCIAL BANKING.
• 16. Commercial Bank Operations.
• 17. Bank Regulation.
• 18. Bank Management.
• 19. Bank Performance.
• 20. International Banking.
• PART SEVEN: NONBANK OPERATIONS.
• 21. Thrift Operations.
• 22. Consumer Finance Operations.
• 23. Mutual Fund Operations.
• 24. Securities Operations.
• 25. Insurance Operations.
• 26. Pension Fund Operations.
• 27. Credit Unions