Indian Financial System :-
- NBFC are allowed to raise money from the public and lend monies through various instruments for ex leasing, hire purchase and bill discounting.
- Primary dealers deal in government securities, primary as well as secondary markets.
- FI are financial institutions which provide long term funds for industry and agriculture.
- CRR is a percentage of demand and time liabilities of a bank which is deposits held by the bank.
- SLR is a percentage of demand and time liabilities of a bank which is held in prescribed government securities by the bank.
- Bonds and debentures are examples of corporate securities and can be used to raise debts.
- Debts, equities and derivatives are examples of securities.
- Mutual fund pools money from investors and invests in stocks, debt and other securities.