Financial capital is a monopoly capital formed by industrial monopoly capital and bank monopoly capital. Ways include capital contact, capital participation and personnel participation.
This integration is reflected in three aspects: first, industrial capital is combined with bank capital in the process of expansion; Second, industrial capital is combined with bank capital in the process of diversified industrial extension; Third, industrial capital is combined with bank capital in the process of acquisition, merger and reorganization.
The integration of industrial capital and bank capital in its circulation is the necessity of modern capital operation. It embodies the essence and important role of money in the market economy.
The rapid development of non-bank financial institutions such as securities has expanded the extension of the concept of financial capital. One refers to the currency (capital) itself used for appreciation. There is a special difference between these currencies and those used by industry and commerce, that is, they will not be converted into means of production to manufacture goods, nor will they earn the difference by buying and selling ordinary goods.
Its main value-added means is interest income; Secondly, it refers to those enterprises and institutions that hold a large amount of money and (partially) use it for financial funds, such as commercial banks, investment companies, asset management companies and fund insurance companies, financial groups, securities companies and investment banks.
Financial capital refers to the highest form of monopoly capital formed by the mutual infiltration and integration of bank capital and industrial capital. Financial capital has replaced industrial capital. The concentration and monopoly of production and capital are the basis of all these changes. Without the high concentration of industrial capital, it is impossible to provide a large number of sources of monetary funds for banks, and there will be no high concentration and monopoly of bank capital. The concentration and monopoly of bank capital in turn promotes the further concentration and monopoly of industrial capital through various credit means. Therefore, the concentration and monopoly of industrial capital are intertwined with the concentration and monopoly of bank capital from the beginning.
After the monopoly of industrial capital and bank capital, the relationship between them has undergone a qualitative change, mutual penetration and integration, and finally formed financial capital. The investment targets of wealth management funds are mainly financial products, such as investing in stocks, bonds and banks. In the tide of economic globalization, the globalization of financial capital is an important stage in the development of international capital flows.