Textbook
Financial Institutions, Markets, and Money
The focus of this book is to provide students a balanced introduction to the operation, mechanics, ane structure of US financial system, emphasizing its institutions, markets, and financial instruments. The Federal Reserve System and its conduct of monetary policy are given special attention. The authors stress the impact of monetary policy on interest rates and the way financial institutions adjust their operation to reduce risk caused by changes to interest rate environment. Throughout the book the authors also stress the risk that financial institutions face and how they can manage those risk in financial markets. These risks include interest rate risk, credit risk, liquidity risk, foreign exchange risk, and political (regulatory) risk.
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