NMIMS Global Access

School for Continuing Education (NGA-SCE)

Course: Financial Institutions and Markets

Internal Assignment Applicable for December 2020 Examination

1. In your view, what can be the possible reasons behind the increasingly high NPAs of the Indian banks? How far can this be attributed to the conditions prevailing in the Indian economy?

2. ABC Fashion Pvt. Ltd. is a leading apparel company in India. They want to expand and modernize their current business model and thus requires funding to their business. You have been hired as a Financial consultant to ABC Fashion. As a consultant suggest the various methods as to how ABC Fashion Pvt. Ltd. can raise funds through primary or secondary market for their business.

3.a. Rahul is an active investor and have invested in mutual fund and fixed deposits. He wants to diversify his existing portfolio by investing in derivative instruments but he is not sure about it. Suggest few derivative instruments to Rahul.

3.b. “Banks are the financial intermediaries that facilitate the flow of funds in the economy”. In regard to the above statement discuss some of the functions of commercial banks?