Open AccessINFLUENCE UNDERSTANDING OF THE FINANCIAL MARKET’S FUNCTIONING TO THE COMMERCIAL AWARENESS OF ENTERPRISES: FOREIGN EXPERIENCE
Author(s) -
Anastasiia Zerkal
Publication year - 2018
Publication title -
world science/world science
Language(s) - English
Resource type - Journals
eISSN - 2414-6404
pISSN - 2413-1032
DOI - 10.31435/rsglobal_ws/30122018/6270
Subject(s) - underwriting , business , loan , finance , debt , investment banking , bond , due diligence , principal (computer security) , documentation , investment (military) , financial system , politics , computer science , political science , law , programming language , operating system
Basic financial knowledge goes a long way when contemplating the structuring of potential investments, as well as reviewing due diligence documentation prior to an investment being made. Being a public company opens up another avenue of finance, this time on the debt side. The principal types of bank are commercial (lending), investment (securities underwriting and trading) and bundled (both). Enterprises can usually borrow more cheaply by issuing a bond than by getting a loan from a bank, because a bondholder can simply sell the bond to get its money back whereas it is trickier for a bank to sell a loan (loans aren’t designed to be bought and sold in quite the same way). An enterprise’s staff is now required to play a more prominent role in business decisions rendered by an enterprise, as well as help shape their strategy and assist the enterprise to meet its corporate objectives