The concept and structure of the financial market . Under the financial market understand the scope of the manifestations of relations in the field of economy that arise between sellers and potential buyers of monetary and financial resources, investment values (as a tool for the formation of financial resources), as well as about their real and use value.
The structure of the financial market is determined by the following components included in it. This is foreign exchange, capital, securities (stock), cash (cash, cash securities and cash in other forms). In addition, there is a market for gold and deposits (deposits) in commercial banks.
The financial market is an informal or organized system of trading a variety of financial instruments. In the system of this market, there are processes of exchanging money, providing loans and mobilizing capital.
The main role in this market is given to financial institutions that are engaged in directing cash flows from their owners to temporary borrowers. The role of the goods is played by money and, in addition, securities.
The structure of the financial market characterizes the state of the country's economy. The consequences of integrating the financial market of Russia into international relations in the field of the financial market can be distinguished both positive and negative. Among the latter - a certain dependence on the state of international markets.
The basic components of the financial market are the money market and the capital market. Therefore, the structure of the financial market begins with these essential elements.
The money market consists of foreign exchange, accounting, interbank markets. A feature of this component of financial relations is the involvement in it of only short-term (up to one year) loans.
Money market - a special area of the market for loan capital, which is characterized by the provision of these capital in loans for a period of not more than a year. They are mainly used for servicing not fixed but working capital. In this market, money supply appears in anonymous form, in which all traces of its origin are erased.
The foreign exchange market plays a key role in ensuring the interaction of financial markets on a global scale. With its help, relations are established between buyers and sellers of currencies. The goods in these relations are any financial requirements that are indicated in foreign currency. The participants are banks, exporters, investors, enterprises, individuals , etc. The structure of the financial market allocates a special role to this component.
Accounting market - redistributes short-term funds in cash between credit institutions through the sale of securities with a maturity of up to one year. The market is based on accounting and rediscounting operations of banks.
Interbank market - relations to attract temporarily free resources of credit institutions in cash, which are placed between banks in the form of short-term deposits.
The capital market is a sphere of commodity relations in which long-term investment instruments are traded. The demand for capital and its supply are interwoven into these relations. Financial market infrastructure considers this element as one of the key.
Securities with no maturity or with a maturity of more than a year are traded on the capital market. This market is necessary to meet the needs of business entities in financing on a long-term basis.
The form of movement of loan capital is a loan. The sources of such capital are funds that are released in the production process (depreciation fund of enterprises, part of the working capital in the form of money, profit, population savings, state accumulation, etc.).
The market for loan capital has two links: the credit system (medium and long-term bank loans) and the securities market.