Derivatives Markets: Financial Instruments that derive their value from underlying asset are commonly referred to as derivatives. When the need arose to mitigate risk due to vagaries of commodity prices, derivatives instruments were developed. Initially, these pertained to linear pay-off structure such as forward and futures contracts. Subsequently, in the...
Global Commodity Markets have evolved in the last 150 years with the emergence of the organized financial marketplace. The need to mitigate risk due to the volatility in asset prices led to innovation of sophisticated financial instruments. Improved satellite technology with superior digital communications and faster processing speed facilitated emergence...
Foreign Exchange (Currency) Markets: The foreign exchange market in India is regulated by Reserve Bank of India (RBI). Guidelines have been established for trading in foreign exchange. Limits for investments abroad and policy for purchase of foreign exchange when an individual is travelling to a foreign country or for any...
Foreign Exchange Regulations And Taxation Issues Introduction Taxation is one of the core variables for various financial decisions such as international investment decisions, international working capital decisions, fund raising decisions, and decisions regarding dividend and other payments. These decisions become more complex when we take into consideration the multiple tax...
Role Of Export Import Bank Of India Export-Import Bank of India [EXIM BANK] was set up by an Act of Parliament on January 1, 1982 for the purpose of financing, facilitating and promoting the foreign trade of India. It is the principal financial institution for coordinating the working of institutions...
Export Credit In Foreign Currencies Reserve Bank of India has permitted the authorized dealers in foreign exchange to extend Export Credit, both Pre-Shipment and Post-Shipment, in Foreign Currencies viz U.S Dollars, Pound Sterling, Japanese Yen, Euro, etc. Pre-Shipment Export Credit In Foreign Currencies Pre-Shipment Credit in foreign currency is...