What is KYC norms?
Updated as per RBI amended Master Direction dated June 04, 2024 KYC stands for “Know Your Customer”. It’s a process to prevent banks and other financial institutions from being used as a channel for Money Laundering (ML)/ Terrorist Financing (TF) and to ensure the integrity and stability of the financial system, efforts are continuously being…
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RBI revises norms for issuance of commercial Papers(CP) and Non-Convertible Debentures (NCD)
The Reserve Bank of India (RBI) in its Notification No.FMRD.DIRD.10/14.02.001/2023-24 dated January 03, 2024, introduced certain changes in the Master Direction norms relating to Commercial Paper and Non-Convertible Debentures of original or initial maturity up to one year. The new direction is effective from April 1, 2024. Commercial Paper (CP) is an unsecured money market…
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Role of Primary Dealers (PDs) in India
Primary dealers are registered entities with the RBI who have the license to purchase and sell government securities. Primary Dealers can also be referred to as Merchant Bankers for the Government of India as only they are allowed to underwrite primary issues of government. RBI issues government securities of the Government. A primary dealer buys…
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What are other current liabilities?
( This post explains, the difference between other current liabilities and the current liabilities for the purpose of working capital appraisal and items like contingent liabilities, netting of current liabilities and current assets.) The current liabilities are those dues, to be settled within 12 months from reporting date, including overdraft and loan installments payable within 12…
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Know all about Angel Investors and Angel Funds
A startup company as the name says is a company in the initial stages of business. The start-up companies might have shown promise for profits, but still need capital to develop products or grow. Funding sources for these companies include family and friends, venture capitalists, crowdfunding, and loans. In such cases, angel investors come into…
What is a Capital Market?
Capital market is a market for long-term debt and equity shares. The Debt Market is the market where fixed-income securities of various types and features are issued and traded. Debt Markets are, therefore, markets for fixed-income securities issued by the Central and State Governments, Municipal Corporations, banks, and financial institutions. A share may be bought…
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