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Showing posts with label business finance. Show all posts
Showing posts with label business finance. Show all posts

Monday, 25 March 2019

DII's and FII's

Foreign institutional investors (FII) are the investment funds investing in a country other than the country in which it is registered. For example investment by US mutual fund Company in UK company shares.
Domestic institutional investors(DII) are the  investors or investment fund invest in the own country where it is registered. For example US mutual fund investing in US companies.
DII's-  domestic institutional investors,FII's -Foreign institutional investors.
Following are the various institutional investors:-

  • Hedge funds
  • Mutual funds
  • Pension funds
  • Insurance companies
Institutional investors buys the various securities like equity shares, Debentures etc in companies.

Monday, 19 February 2018

Meaning of Business Finance

Meaning of business finance
  Money required for activity is known as finance. Every activity whether economic or non-economic,requires money to run it.
 Business Finance refers to money and credit employed in business.It is procured and utilized for business purposes. The following characteristics of business finance will make its meaning more clear:

  1. Includes all types of funds:- Business Finance includes all types of funds used in business.(e.g., Owners' funds, Borrowed Funds).
  2. Required in all types of organization:- Business Finance is required in all types of organizations whether large or small, manufacturing or trading.
  3. Varies with Nature & Size of Business Operations:- The amount of business finance differs according to the nature and size of business operations, larger will be the amount of business finance required.
  4. Varies from time to time:-The amount of business finance varies from time to time.
Required on continuous basis:- It is required on continuous basis during the life of the business organization unless the organization decides to curtail it's operations due to any reason (s).
Significance of Business Finance (click here to know the topic)