Moneylending in Myth and Practice in Twentieth-Century Mexico

2018 ◽  
Vol 34 (2) ◽  
pp. 143-164
Author(s):  
Nicole Mottier
Keyword(s):  
Twentieth Century ◽  
Financial Intermediation ◽  
Financial Intermediaries

This article demonstrates that ejidatarios sometimes actively sought loans from moneylenders alongside other lenders, such as the Banco Ejidal, as one strategy for managing the uncertainties that shaped their lives. It asserts that moneylenders proved to be very important financial intermediaries for rural borrowers. By explicating how and why they continued existing alongside formal financial intermediaries such as the Banco Ejidal, this article offers a more nuanced way of understanding financial intermediation. Este artículo demuestra que en ciertas ocasiones los ejidatarios buscaron activamente los servicios de prestamistas–así como de otras entidades de crédito, por ejemplo, el Banco Ejidal–como estrategia para manejar la incertidumbre que caracterizaba sus vidas. El artículo reafirma que los prestamistas resultaron ser intermediarios financieros de gran importancia para los prestatarios rurales. Al explicar cómo y por qué continuaron existiendo estos prestamistas al lado de intermediarios financieros formales como el Banco Ejidal, este artículo contribuye a un entendimiento más matizado sobre la intermediación financiera.

scholarly journals The effectiveness of capital management strategies used by the investment funds in Poland

2014 ◽  
Vol 15 (2) ◽  
pp. 119-129
Author(s):  
Paweł Trippner
Keyword(s):  
Financial Market ◽  
Financial Intermediation ◽  
Management Strategies ◽  
Financial System ◽  
The State ◽  
Financial Intermediaries ◽  
Investment Strategies ◽  
Capital Management ◽  
Investment Funds ◽  
Location Policy

Abstract Collective investors play an extremely important role in the financial system of the state and in the economy. They operate in the financial market as institutions that enable households and businesses to convert savings into investments. Investment funds are the most conventional institutions which are dealing with financial intermediation. The main purpose of the submitted paper is to characterise the essence of investment funds operation in the role as financial intermediaries, to present the investment strategies and to characterise the methodology for measuring the effectiveness of capital management entrusted by the clients. The author has formulated a research hypothesis, according to which, the strategies of capital location policy used by the investment funds have an impact on the level of their performance, while funds holding higher risk portfolios perform better compared to the funds using passive investment strategies

Technological Revolution in Financial Intermediation

2021 ◽  
pp. 65-83
Author(s):  
Galina Sergeevna Panova ◽  
Irina Vladimirovna Larionova ◽  
Istvan Lengyel
Keyword(s):  
Financial Markets ◽  
Business Models ◽  
Financial Intermediation ◽  
New Technologies ◽  
Financial Intermediaries ◽  
Theoretical Understanding ◽  
Technological Revolution ◽  
Functional Changes ◽  
Disruptive Technologies ◽  
Radical Reduction

The chapter presents current issues in innovative modernization of financial intermediation. Development of financial innovation in recent years has led to significant structural and functional changes in the system of financial intermediation. New technologies open broad prospects allowing the radical reduction of the costs of information transmission and processing, while exacerbating competition and stimulate the emergence of new financial intermediaries. This chapter analyzes the debate on the theoretical understanding and analysis of financial intermediation, the disruptive technologies influence the economy with focus on organizational changes in financial markets, the use of digital currencies, exploration of blockchain technologies applications, etc. The chapter discusses how technologies have changed the market and the perception of customers as they foster entrepreneurial creativity and disrupt existing financial markets through an introduction of innovative business models of modern credit institutions.

scholarly journals Theory of Financial Intermediation: A Portfolio Approach

1978 ◽  
Vol 3 (2) ◽  
pp. 133-138
Author(s):  
Ramesh Gupta
Keyword(s):  
Conceptual Framework ◽  
Financial Institutions ◽  
Financial Intermediation ◽  
Balance Sheet ◽  
Portfolio Theory ◽  
Preference Function ◽  
Function Approach ◽  
Financial Intermediaries ◽  
Portfolio Approach

Repid growth of financial institutions in recent years has resulted in a need to provide a conceptual framework for explaining their portfolio behaviour. By and large, literature on the theory of financial intermediation has concentrated on either the asset side or the liability side of the balance sheet. In this study, an attempt is made to explain the behaviour of financial intermediaries by explicitly considering the dependence between securities bought and securities sold in terms of the portfolio theory using a preference function approach. The model presented in this article will provide a framework for further research.

scholarly journals INTERMEDIATION IN FINANCE

2019 ◽  
Vol 26 (6) ◽  
pp. 1727-1730
Author(s):  
Redon Koleci
Keyword(s):  
Financial Institutions ◽  
Financial Intermediation ◽  
Financial System ◽  
Capital Gains ◽  
The Other ◽  
Financial Resources ◽  
Financial Intermediaries ◽  
Other Hand ◽  
The One ◽  
Key Participants

Financial institutions are financial intermediaries in the process of transferring financial funds between participants in the financial system. The key participants in the financial system are: individuals, businesses, financial intermediaries and the government.Money holders are interested in investing their savings in earning income. As compensation for this, they earn profits in various forms, such as interests, dividends, capital gains, etc. Also, borrowers need additional financial funds to finance their investment or consumption programs. They are obliged to borrow those funds from financial institutions. For lending funds they pay a certain lender's price.With the intermediation of financial institutions, it is possible to transfer financial funds from entities that have surplus to entities lacking financial funds and at the same time need to be provided from external investment or consumption sources, if the accumulation of sufficient financial resources from own resources.The essence of financial intermediation lies in the collection of financial funds from many individuals and businesses that own financial savings, and their investment in various forms. With the disclosure of the financial intermediation process, we note its multidimensional aspect, on the one hand, as a pool of financial funds in various forms and their concentration, while on the other hand, as investment of shelled funds through various forms of loans to borrowers who need funding.

The Need for News Forms of Financial Intermediation

2017 ◽  
pp. 143-161
Author(s):  
Tristan Auvray ◽  
Thomas Dallery ◽  
Sandra Rigot
Keyword(s):  
Economic Growth ◽  
Institutional Investors ◽  
Financial Intermediation ◽  
Financial System ◽  
Financial Sector ◽  
Policy Implications ◽  
Financial Intermediaries

This chapter deals with intermediaries in the financial sector such as banks and institutional investors. These actors are expected to play a central role in economic growth via the funding of investment because they are supposed to match creditors' desires (households) with borrowers' needs (firms) at a macroeconomic level. It aims to reassess the theoretical role of financial intermediation related to the allocation of savings in a context of a structural decline in overall investment for thirty years. To achieve this goal, it studies the evolution of financial intermediaries' behaviour in their capacity to finance investment and identifies the weaknesses of our current financial system which does not allocate optimally savings to firms' productive projects. Then it suggests some policy implications defining new forms of financial intermediation in which public financial intermediaries would have to play a greater role.

The Need for News Forms of Financial Intermediation

2020 ◽  
pp. 1978-1996
Author(s):  
Tristan Auvray ◽  
Thomas Dallery ◽  
Sandra Rigot
Keyword(s):  
Economic Growth ◽  
Institutional Investors ◽  
Financial Intermediation ◽  
Financial System ◽  
Financial Sector ◽  
Policy Implications ◽  
Financial Intermediaries

This chapter deals with intermediaries in the financial sector such as banks and institutional investors. These actors are expected to play a central role in economic growth via the funding of investment because they are supposed to match creditors' desires (households) with borrowers' needs (firms) at a macroeconomic level. It aims to reassess the theoretical role of financial intermediation related to the allocation of savings in a context of a structural decline in overall investment for thirty years. To achieve this goal, it studies the evolution of financial intermediaries' behaviour in their capacity to finance investment and identifies the weaknesses of our current financial system which does not allocate optimally savings to firms' productive projects. Then it suggests some policy implications defining new forms of financial intermediation in which public financial intermediaries would have to play a greater role.

scholarly journals REPORTING AND FINANCIAL INTERMEDIARIES: META-ANALYSIS OF KEY CONCEPTS

2021 ◽  
Vol 2021 (3) ◽  
Author(s):  
Y. Serpeninova ◽  
A. Yaroshyna
Keyword(s):  
Financial Reporting ◽  
Hedge Funds ◽  
Financial Stability ◽  
Financial Intermediation ◽  
Positive Impact ◽  
Meta Analysis ◽  
Capital Allocation ◽  
Research Topic ◽  
Financial Intermediaries ◽  
Shadow Banking

Financial intermediaries increase the efficiency of capital allocation by accumulating it between the parties to match the needs of all stakeholders. Due to market imperfections and information asymmetries, financial intermediaries have moved from traditional banking to intermediaries that are more complex: investment banks, pension funds, venture capital funds, mutual funds and hedge funds. The interrelation between intermediaries and economic indicators is a topic of discussion for many scholars around the world. The final opinion on this does not yet exist, because the hypotheses that are put forward are polar in nature. This study is based on the assumption that financial intermediaries have a positive impact on economic development. This study is aimed at bibliometric analysis by means of VOSviewer v.1.6.16 to identify key contextual areas of the research topic. The paper identifies numerous trends in the study of financial intermediation. The main national and foreign approaches to the studied concept are systematized. Key subject groups of the studied phenomenon are revealed. The most cited authors who worked in this direction are analyzed. Articles on key aspects of the study were clustered. The connection between the concepts of "financial intermediation" and "non-financial reporting" is revealed. Google Books Ngram Viewer and Google Trends analyzed the frequency of mentions of research concepts and the frequency of user queries. As a result, on the basis of 405 documents indexed by the Scopus database during 2012 - 2018, 6 clusters were identified, focusing on: the place of financial intermediaries in the financial system; role in ensuring financial stability; the prerequisites for the formation of this phenomenon; roles in the financial market; interactions between financial intermediaries and systemic risks; connection with shadow banking. The growing number of mentions of the research topic among Ukrainian and foreign scientists indicates an increased interest in the nature and role of this phenomenon.

A Game-Theoretic Foundation for Competitive Equilibria in the Stiglitz–Weiss Model

2012 ◽  
Vol 13 (2) ◽  
pp. 211-227 ◽  
Author(s):  
Lutz G. Arnold
Keyword(s):  
Adverse Selection ◽  
Price Competition ◽  
Financial Intermediation ◽  
Credit Market ◽  
Selection Model ◽  
Financial Intermediaries ◽  
Competition Models ◽  
Competitive Equilibria ◽  
Game Theoretic

Abstract Financial intermediaries are, by definition, engaged in two-sided competition. Despite the well-known problems of achieving competitive solutions under twosided price competition, models of financial intermediation are commonly solved for competitive equilibria. This article provides a game-theoretic foundation for competitive equilibria in one of the most important models of financial intermediation, the seminal Stiglitz-Weiss (1981) adverse selection model of the credit market with a continuum of borrower types.

scholarly journals THE PROBLEMS AND PROSPECTS FOR FINANCIAL INTERMEDIATION DEVELOPMENT IN UKRAINE

2019 ◽  
pp. 92-100
Author(s):  
Iryna PRIKHNO ◽  
Igor CHASTOKOLENKO ◽  
Artem MARCHENKO
Keyword(s):  
Financial Market ◽  
Financial Institutions ◽  
Banking Sector ◽  
Financial Intermediation ◽  
Financial Sector ◽  
Financial Resources ◽  
Financial Intermediaries ◽  
Banking Institutions ◽  
Business Entities ◽  
State Pension

In today's global economy, financial intermediation is an extremely powerful source of financial resources that can be used for investment purposes, since financial intermediaries can combine temporarily free (unused in the economy) financial resources of different business entities and direct them to those sectors of the economy that need investment. At the same time, financial intermediaries simultaneously provide the movement of financial assets and contribute to the development of the economy. It is proved that the objective need for a study of financial intermediation in Ukraine is to establish such a mechanism for the redistribution of financial resources in the country in order to achieve the maximum level of development of the economy both at the micro level and at the macro level. In Ukraine, the process of reforming the economy continues, including the financial market. The main participants in the financial market are financial intermediaries, which bring together buyers and sellers of financial assets. Activities of financial intermediaries in the financial market can be characterized by the fulfillment of the following main functions: accumulation of savings of economic entities; placing of attracted financial resources in the branches of economy; obtaining profit (own, as well as other economic entities); ensuring economic development. We believe that the main purpose of financial intermediaries is to create a balance in the financial market by matching interests and needs of all participants in the financial market and balancing demand and supply on financial resources. The most common is the division of financial intermediaries into banking institutions (banking sector) and non-bank financial institutions (non-banking financial sector). Currently, in Ukraine, banking institutions are represented by universal and specialized commercial banks of Ukraine, and non-bank financial institutions are represented by insurance and financial companies, credit unions and pawnshops, non-state pension funds and trust companies. According to statistics, the banking sector is larger in terms of assets, while the number of financial market participants is dominated by the non-banking financial sector. The analysis carried out shows an increase in the role of non-bank financial institutions in the financial market. Non-financial sector entities are dominated by financial companies. The article outlines the following main problems of the development of financial intermediation entities in Ukraine: the inconsistency of the financial system of Ukraine with the real sector of the economy, as a result of which the non-banking sector of the economy is not able to fully perform its main functions; the presence in the financial market of institutions that practically do not perform the functions assigned to them, thus creating significant risks for the normal functioning of the market; Ineffective legislation and an ineffective system for overseeing the activities of financial intermediaries, which gives rise to distrust of financial institutions; low level of financial literacy of the population. In order to overcome the problems identified and to provide an effective mechanism for the functioning of financial intermediary institutions in Ukraine, it is proposed to: introduce common rules of conduct in the financial market for banks and non-bank financial institutions, but taking into account the specifics of each type of financial intermediary; to intensify activity in the financial market of investment funds, insurance companies and non-state pension funds; Maximize the attraction of the non-banking financial sector to the development of the real sector of the economy; introduce a reliable mechanism for protecting the funds of the population and business entities; to create a service consulting center for the provision of services by non-bank financial institutions. We believe that the outlined directions for solving the problems of the development of financial intermediation create the basis for its further improvement and promote the activation of their effective activity.

scholarly journals Financial innovation and the golden ages of international banking: 1890–1931 and 1958–81

2000 ◽  
Vol 7 (2) ◽  
pp. 141-175 ◽  
Author(s):  
STEFANO BATTILOSSI
Keyword(s):  
Twentieth Century ◽  
Commercial Banks ◽  
Financial Intermediation ◽  
Financial Innovation ◽  
International Banking ◽  
Wholesale Market ◽  
Process Innovations ◽  
Financial Innovations ◽  
Global Liquidity ◽  
Industrialised Countries

Stefano Battilossi, Financial innovation and the golden ages of international banking: 1890–1931 and 1958–81Throughout the twentieth century, the internationalisation of banking was both a factor for, and an ensuing aspect of, rising globalisation. During the period 1890–1931, commercial banks of industrialised countries promoted organisational and process innovations that successfully challenged the dominance of merchant banks in international financial intermediation. International banking re-emerged from interwar nationalistic retrenchment during the late 1950s, when banks exploited regulatory asymmetries to foster the emergence of Eurocurrency markets. Eurobanks provided not only global liquidity redistribution but also portfolio transformation services to corporate and sovereign customers. Financial innovations related to Eurobanking mark a secular discontinuity as they proved to be vehicles of a banking revolution, based on competition, deregulation and wholesale-market funding.

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