Syllabus

Module-1: The Financial System: An Introduction
? Introduction of financial System-
? Components of formal Financial System: Financial Markets, Financial Institutions, Financial Instruments, Financial Services, Interaction Among Financial System Components
? Functions of a Financial System
? Key Elements of a Well-Functioning Financial System
? Financial System Designs
? Nature and Role of Financial Institutions (Intermediaries) and Financial Markets 11
? Financial Markets
? Money Market and Capital Market
? Primary Capital Market and Secondary Capital Market
? Characteristics of Financial Markets
? Financial Markets Functions

Module 2: The Financial System and the Economy
? Introduction
? Types of Economic Units
? A Macro-economic Framework Analysis for Exploring the Role of the Financial System in the Economy
? National Income Accounts
? Classification of the Indian Economy
? Flow of Funds Accounts
? Flow of Funds-based Indicators of Financial Development
? Trends in Saving and Investment
? Why Study Saving and Investment
? Saving and Investment in India
? Household Sector Financial Saving
? Saving and Investment in the Long Run
? Conclusion

Module 3: Reforms in the Financial System
? Background
? Indian Financial System in the Pre-reforms Period
? Objectives of Financial System Reforms
? Financial Effi ciency, Stability, and Integration
? Conclusion

Module 4: Financial Markets (The Money Market)
? Introduction
? Functions of the Money Market
? Benefits of an Efficient Money Market
? The Indian Money Market
? Role of the Reserve Bank of India in the Money Market
? Steps to Develop the Money Market in India
? Money Market Centers

Module 5: The Capital Market
? Introduction
? Functions of a Capital Market
? Primary Capital Market and Secondary Capital Market
? History of the Indian Capital Market
? A Brief History of the Rise of Equity Trading in India
? Capital Market Scams
? Introduction

Module 6: Financial Regulation
? Regulation of the Capital Market
? The Securities and Exchange Board of India (SEBI)
? Management of the SEBI Under the SEBI Act, 1992
? Powers and Functions of the SEBI 746
? Regulations, Guidelines, and Schemes Issued by the SEBI
? Regulation of the Securities Market
? Supervision of Securities Market
? The Reserve Bank of India
? Objectives of the Reserve Bank
? Organisation of the Reserve Bank
? Main Functions of the RBI
? Role of the Reserve Bank of India
? Conclusion

The basic objective of the course is to provide comprehensive introduction to the functioning of financial market in the emerging context of deregulation and globalization of markets.

According, the topic such as the Indian financial system, organized and non-organized financial sector, capital market, derivative market, and market volatility are covered in this course to equip the student with tools and technical apparatus necessary to analyze modern literature on financial markets and financial institutions.

Bharati. V. Pathak, Indian Financial System, Pearson Education in South Asia Publishing Company, New Delhi, 2006,

L.M. Bhole, Financial Institutions and Markets: Structure, Growth and Innovation, Tata McGraw Hill Publishing Company Limited, New Delhi, 2009

V.A Avadhani, Financial Economics: Theory and Practice, Himalaya Publishing House, Mumbai, 2000