Financial Markets, Capital Budgeting and Institutions Analysis Report

This report provides an analysis of financial institutions, focusing on the Australian market. It begins by comparing four key financial institutions: commercial banks, insurance companies, investment banks, and investment funds, highlighting their roles and operational differences. The report then delves into the concepts of capital budgeting, capital structure, and working capital management, clarifying their significance in financial decision-making. Furthermore, it includes fact-finding related to the listing on the Australian Securities Exchange (ASX) and the requirements for financial advisory service registration in Australia. The report also touches on risk analysis and project evaluation, crucial aspects of financial planning. The analysis includes specific examples such as the National Bank of Australia, Allianz, and Intermeddle Global Equities Fund, to illustrate the practical application of these concepts. Overall, the report aims to provide a comprehensive understanding of financial markets, capital budgeting, and the operational dynamics of various financial institutions.

Research on Financial market
and Capital Budgeting Analysis
Contents
Contents...........................................................................................................................................2
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3

Comparison of four key financial institutions.............................................................................3
Explanation of the meaning of capital budgeting, capital structure and working capital
management.................................................................................................................................3
TASK 2............................................................................................................................................3
Fact finding of the listing on ASX...............................................................................................3
Fact Finding of requirements on Financial advisory service registration in Australia................3
TASK 3............................................................................................................................................4
Risk analysis and project evaluation............................................................................................4
CONCLUSION................................................................................................................................4
REFRENCES...................................................................................................................................4

INTRODUCTION
TASK 1
Comparison of four key financial institutions
Portfolio investor: Portfolio is a collection of investments all owned by the same individual or
organization. Theses investment often included stocks, which are investments in individual
business bonds which are investment in debts that are designed to earn interest and mutual
funds . The person who invest in the portfolio is known as portfolio investor. They are invest in
various gripou of securities of financial institutions which describe below in order to enhance
their return.
Financial institutions: These can be describe as business organizations that act as mobilise and
depositors of saving and as purveyors of credit of fiancé. They also provide various financial
services to the community. Portfolio investors invest their money in financial institutions as they
can able to spread risk and maintain liquidity and provide higher rate of return as compare to
other financial system elements. Financial institutions of Australia includes banks, fiace
companies, superannuation funds, life insurance unit trust companies and investment banks.
Commercial banks: A commercial banks is an institution that operates for profit . It accept
deposits from geanral public and extends loan to the households. In Australia the banking sector
is run by 4 big banks, National Bank o Australia, ANZ, Common wealth banks and Westpac
commercial bank. In this report for comparison Australia bank has been taken,.
Insurance companies: Insurance may be described as financial device or contract to mitigate or
eliminate risk of loss to life and property. The companies who provide the facilities of insurance

to investors is known as insurance companies. Australia market of insurance is divided into
3major parts. Life insurance companies, general insurance companies and heath insurance
companies.
Investment banks: These are the banks that aid companies and acquiring funds. In addition to
the accusation of new funds, knew investments banking also offer advice for a wide range of
transaction of companies. Allianz organization has been taken for comparison purpose in this
report.
Investment funds: These are the organizations which managed funds of investors with other
people. In this money is applied together with the other individual money and organizations
invest it for aching common investment goals. Intermeddle global equities fund has been taken
for comparison.
COMAPRISION BETWEEN FINANCAIL INSTITIUTIONS OF AUSTRSLIA
Particular Australia bank ANZ investment
bank
Allianz
organization
Australian
Ethical
investment
Group of
financial
institution
Authorised
deposited taking
institution
Authorised
deposited taking
institution
Non Authorised
deposited taking
institution
Non Authorised
deposited taking
institution
Market sector Oligopoly Monopolistic Perfect Monopoliitc