(1. What is the relationship between the primary market and the secondary market? What role do they play in the daily operation of financial markets? )
The primary market is a financial market where companies or government agencies that raise funds sell their newly issued stocks, bonds and other securities to initial buyers, providing channels for fund demanders and investment opportunities for fund providers, and realizing the transformation from savings to investment; Form a revenue-oriented capital flow mechanism to promote the continuous optimization of resource allocation.
The secondary market refers to the market where issued securities are traded, transferred and circulated. The income from the sale of securities in the secondary market belongs to investors who sell securities, not to companies that issue securities. Its function is to provide liquidity for securities in the secondary market. Maintain the liquidity of securities, so that securities holders can sell their securities and realize them at any time. If the holders of securities can't cash their securities at any time, no one will buy them. It is precisely because it provides a way for the realization of securities that the secondary market can show the market price of securities to securities holders while pricing them.
2. What are the methods of documentary collection in international trade? Try to discuss the advantages and disadvantages of main acquisition methods and specific application fields based on their characteristics)
Collection belongs to commercial credit. When handling collection business, banks are not obliged to check whether the shipping documents are correct or complete, and they are not responsible for the payer's payment. Although the collection is handled through the bank, the bank is only the trustee of the exporter and does not assume the responsibility of payment. The importer's failure to pay has nothing to do with the bank. For exporters, the risk of collection is greater. Documentary collection means that the exporter delivers the goods first and then collects the payment, so it is risky for the exporter. The importer's payment depends on his business reputation. If the importer goes bankrupt, loses the ability to pay, or the price of the imported goods drops after shipment, the importer refuses to pay for it under an excuse, or the importer is prohibited from importing or unable to pay for foreign exchange without obtaining an import license in advance, the exporter will not only be unable to recover the payment on time, but may also cause both losses. If the goods have arrived at the place of import, the importer will make an excuse not to pay, and the exporter will also bear the costs of picking up goods, warehousing and insurance at the destination, as well as the risks of possible deterioration, insufficient quantity and insufficient weight. If the goods are resold elsewhere, both quantity and price will be lost. If the goods cannot be resold, the exporter will bear the cost of transporting the goods back to his country and the loss that may be sold at a low price by the local government because of the long storage time.
D/P, commonly known as D/P, means that the draft drawn is a sight draft, and the importer can only get the commercial documents when he sees the draft, which is very risky, because the exporter delivers the goods first. If the importer refuses to pay, even if the title certificate is still in the exporter's hand, the goods will stay in the other port, and the backlog and the freight and bank charges for returning home are no small losses. However, it is difficult for exporters to generate cash flow after delivery. For importers, especially under the D/A method, it is equivalent to using the money received from the sale of goods to pay the exporter's payment, which is equivalent to helping the importer to finance.
2. D/P in the future. The exporter draws a time draft, and the importer accepts D/P at the bank on the maturity date of the draft. Because the bank accepts D/P on the maturity date of the draft, the backlog pressure of exporters is greater than that of D/P at sight.
Third, D/A, commonly known as D/A, is more risky than D/P.. A way for the collecting bank to deliver the documents to the importer after accepting the usance draft. D/A refers to the importer's acceptance of the time draft drawn by the exporter as a prerequisite for obtaining the shipping documents. This collection method is only applicable to the collection of time draft. Compared with D/P, D/A provides financing convenience for importers, but the risk of exporters is much higher than D/P.
(3) Please discuss the influence of QE3 on the world economy and China economy with the knowledge of monetary banking. )
The impact of QE3 on the global economy is:
The dollar depreciated in the short term. The market supply of the US dollar has greatly increased, and during QE 1 and QE2, the Fed's purchase of long-term treasury bonds depreciated against the US dollar, which will have a positive impact on the international capital flow in the global market structure. Loose monetary policy can promote market prosperity. On the one hand, QE3 will help boost global market confidence. On the other hand, the improvement of the American economy may increase the attractiveness of the United States to international capital. It has a negative impact on the price of the international commodity market. Since most international commodity markets are denominated in US dollars, the depreciation of the US dollar will usually lead to an increase in the prices of international commodity markets, which may lead to imported inflation risks in areas where international commodity imports depend on for their livelihood.
The impact of QE3 on China's economy is
Because of the depreciation of QE3 dollar and the policy of RMB pegged to the dollar, the RMB exchange rate weakened at the same time, which in turn made the export situation better, but increased the import pressure. QE3 may push up the international commodity market prices and bring imported inflationary pressure to China.
(4) Combined with the global financial crisis in 2008, the influence of contemporary financial innovation on international financial and economic development is discussed.
To discuss this issue, we must first understand the definitions of derivative financial goods and structured goods in financial innovation. Derivative financial products are financial products derived from traditional financial market instruments, and their value is determined by buyers and sellers according to the value of the underlying assets, yield or other indicators (such as exchange rate, interest rate, stock price index, etc.). There are many kinds of derivative financial products, which can be divided into four categories: forward contracts, futures, options and swaps; These four basic commodities can be recombined to form new derivative financial commodities. The initial development of derivative financial products was mainly aimed at hedging, but with the diversification of commodity portfolio development, the proportion of investment-oriented gradually increased; Structured commodities were originally set as financial investment instruments. Therefore, both derivative financial products and structured products have certain risks due to their investment characteristics. Taking structured goods as an example, its main risks include liquidity risk, exchange rate risk, interest rate risk, early termination risk and credit risk. Since there are risks, it means that you may face losses in addition to profits.
The root of the global financial turmoil lies in the bursting of the US real estate bubble.
After the downward trend of house prices was established, and the range of callback had made mortgage households unable to repay, which led to the increase of bank default rate and bad debts, and the subprime mortgage storm was officially detonated. When American mortgage households borrowed too much to cope with the risk of housing bubble, the domestic subprime mortgage problem officially broke out; In addition, investment banks use derivative financial products to transfer risks to the public, and transactions are exploding. Although it plays a role in fueling the situation during the economic boom, once the economy declines and there is a problem in one of the links, it will affect each other and eventually detonate a disaster. Because financial institutions play an important role in mortgage loans and are the main channels to obtain funds. When the real estate is hot, a moderately inflated bubble will not only harm the economy, but will contribute to prosperity. However, once the prosperity enters the recession, the bubble with large phase deformation will burst, and all speculation will bite itself and accelerate the pace of economic recession. According to the research of paul krugman, the winner of the 2008 Nobel Prize in Economics, half of the subprime loans are lent by non-bank institutions, but these institutions are not subject to federal supervision. Later, the introduction of new financial derivatives became more and more complicated, beyond the framework of financial supervision, and traditional supervision could not cope with it at all.
The key point of the bank storm expanding into a liquidity crisis is that the information is not completely transparent. On the one hand, in the past, relying on the rating of credit rating companies, the risks they bear are likely to exceed the original rating, which is unpredictable; On the other hand, the information transparency of financial institutions is not enough, and the market cannot know the actual amount of losses. Once the media comes out, roll call or play up, market participants take a distrust attitude towards each other under the condition of insufficient information, and keeping cash becomes the best strategy at present, and the market will become a liquidity crisis. At first, the losses of local financial institutions were caused by the subprime mortgage crisis in the United States, and global funds were first taken away from the directly affected European and American markets; After that, although the Asian region was slightly injured, when the American financial crisis spread, the news that big banks might still go bankrupt came out one after another, causing panic among investors and financial institutions.
After Lehman Brothers went bankrupt, many banks in Europe and America broke out securities one after another, and three companies, American Insurance Group and Merrill Lynch, broke out in financial difficulties, which led to the late financial crisis in the market, aggravated the credit crunch and led to a sharp drop in global stock prices. Affected by the financial turmoil in Europe and America, emerging markets have also been affected. The stock markets of Iceland, Argentina, Ukraine, Hungary, South Korea, Brazil and Russia all suffered heavy losses, and the global financial turmoil has taken shape.
In order to boost demand and market liquidity, governments all over the world have adopted a substantially expanded monetary policy. Many countries are facing near-zero interest rates. Through quantitative easing, the market will be flooded with hot money to raise asset prices, and people will have inflation expectations. In addition, the wealth effect will boost consumer demand. However, in order to alleviate the economic recession caused by the international financial tsunami, the government has greatly expanded its fiscal expenditure, which has promoted further inflation today.
In this world? Melt the wind? China, can the country effectively prevent the next possible major event? Resolve risks and comprehensively strengthen them? Financial system supervision, has it been proposed? First, financial supervision policy. Looking back at Asia, though? The financial system is relatively less affected, but in the world? Melt the wind? South Korea and Japan, where the real economy has suffered a huge impact, have also proposed? A series? Targeted? Today, the impact of the financial turmoil is to make the government and people face up to the impact of innovative financial products, and also to further strengthen the financial supervision system to avoid another financial crisis.
(5) Try to discuss the influence of RMB internationalization on China's economy and the world economic structure with the knowledge of international finance. )
The internationalization of RMB means that RMB is widely recognized and accepted by the international market, and it has played its role as a unit of valuation, a medium of exchange and a means of value storage, that is, it has become an international settlement currency, an investment currency and a reserve currency.
The essential meaning of RMB internationalization should include the following three aspects:
First, RMB cash enjoys certain liquidity abroad, and transactions settled in RMB should reach a certain proportion in international trade;
Second, financial products denominated in RMB have become investment tools of major international financial institutions, including the central bank, and the financial market denominated in RMB has been expanding;
Third, most countries in the world accept RMB as a reserve currency. This is a general standard to measure the internationalization of currency, including RMB, of which the latter two points are the most important.
In other words, the definition of international currency should have at least three basic functions, namely, settlement function, investment function and reserve function. Among them, the settlement function is only a necessary condition for currency internationalization, not a sufficient condition.
1. For China and the world, RMB internationalization can reduce exchange rate risk and expand trade and investment. The internationalization of RMB can reduce the exchange rate risk of trade, increase the trade volume among member countries and increase national income; The internationalization of RMB can reduce or cancel the transaction cost of currency exchange in various countries, and trade and capital flow will increase;
2. Save foreign exchange reserves. After the internationalization of RMB, there is no need for foreign exchange reserves because trade is settled in domestic currency. Moreover, both monetary and fiscal policies were formulated in China, which reduced the foreign exchange reserves needed to cope with the trade deficit and currency speculation.
3. Optimize the scale and structure of foreign debt. The use of RMB as an international currency will greatly enhance China's solvency, reduce the cost of foreign debt and optimize its structure.
4. RMB exchange rate risk. After a country's currency is internationalized, its domestic financial market must be free and open. Due to the disappearance of currency barriers, the outflow and inflow of hot money are unimpeded, which will have an impact on its money supply.
5. The cost of interest rate marketization. After the marketization of interest rates, most domestic enterprises have lost the benefits brought by the long-term low interest rate policy implemented by the state. In the case of floating interest rates, once interest rates rise, the costs of domestic enterprises and operators will rise, which will ultimately affect the overall interests and growth of the national economy. Free floating interest rate Under the condition of open capital account, the scale and speed of international capital flow have been expanded and improved, thus expanding transaction costs and increasing risk factors.
6. The cost of supervision has increased. After the internationalization of RMB, the central bank should consider the domestic macroeconomic situation on the one hand and the factors of world economic changes on the other. Considering the influence of policy changes on domestic and foreign economies, it is necessary to balance and coordinate internal and external policy objectives in this case, and some aspects of the domestic economy may be lost for international economic objectives if necessary.
(6) The rediscount rate of the central bank and the deposit reserve ratio of commercial banks are also called the "two magic weapons" for the central bank to intervene in the economy. Based on the current economic situation in China, this paper discusses how the central bank of China should choose between these two tools in the process of regulating the economy and controlling inflation.
Firstly, it explains the definition and influence of commercial banks' raising rediscount rate and deposit reserve ratio.
The deposit reserve ratio for fund transfer refers to the ratio that commercial banks and other financial institutions are required by law to increase some deposits and turn them over to the central bank as reserves, that is, to directly reduce the total amount of loans that commercial banks can put in the market. The effect of the adjustment of deposit reserve ratio is relatively direct, and the influence of deposit reserve on various financial institutions and different types of deposits is inconsistent, so the effect of monetary policy may not be easy to grasp because of these complicated situations.
Therefore, the central bank wants to raise the rediscount rate, which refers to the policy provisions made by the central bank when it applies to the central bank for rediscounting the unexpired bills held by commercial banks. The above includes two aspects: the determination and adjustment of temporary rediscount interest rate; The second is to stipulate the qualifications for applying for rediscount from the central bank. The adjustment of rediscount interest rate can change the cost of market demand loans and limit the provisions of rediscount eligibility conditions. However, the initiative to restrain the effect is not only in the central bank, because even if the discount rate is raised, it may still be because of the strong demand for funds, which cannot obviously affect its money supply and is contrary to its policy will.
However, China usually cooperates with the above two tools to curb inflation or regulate economic development. Raising the deposit interest rate directly limits the total amount of loanable funds in the market, and then raising the rediscount interest rate increases the borrowing cost of enterprises from banks, thus reducing the amount of funds in the overall market and achieving the purpose of regulation.