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1 Board of Studies-in-Business Economics, University of Mumbai
SYBCom applied component elective course under Business Economics3_1 Syllabus Mumbai University by munotes
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2 Board of Studies-in-Business Economics, University of Mumbai
University of Mumbai
Syllabu s and
Question Paper Pattern of
Second Year
B.Com Elective Course
Semester III and IV
Indian Financial System
Under Choice Based Credit, Grading and
Semester System
With effect from Acade mic Year-2017 -2018
Board of studies – Business Economics
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3 Board of Studies-in-Business Economics, University of Mumbai
INDIAN FINANCIAL SYSTEM
Syllabus
Preamble
A Financial System p lays a vital role in the economic growth of a country. It
intermediates between the flow of funds belonging to those who save a part of their
income and those who invest in productive assets. It facilitates the transfer and
allocation of funds, efficiently and effectively. It provides opportunities for students to
enhance th eir knowledge & employability skills. The purpose of this paper is to
acquaint the students with the various components of the financial system and their
workings . In the globalised context, the Indian Financial System has metamorphosed
in to a substantive , competitive and cost effective system and hence, it is essential to
study in depth about its structure and recent developments.
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4 Board of Studies-in-Business Economics, University of Mumbai
Revised Syllabus of B.Com. Progr amme at
Semester III
With E ffect from the Acad emic Year 20 17-2018
Business Economics
Elective course
Indian Financial System
List of Modul es
Sr.
No. Modu les No.of
Lectures
1
Overview of the Indian Financial System
10
2
RBI & Financial Sector Reforms
10
3
Banking & Non-Banking Financial Institutions
15
4
Financial Instruments
10
Total
45
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5 Board of Studies-in-Business Economics, University of Mumbai
-
Sr.No. Modules / Units
1 OVERVIEW OF INDIAN FINANCIAL SYSTEM
Definition and meaning of the financial system - components of the financial system:
institutions, instruments, markets, and services - functions and role of financial system -
structure of Indian financial system - Indicators of financial development: Financial
Interrelations Ratio (FIR), Finance Ratio (FR), Intermediation Ratio (IR) and New Issue
Ratio (NIR).
2 RBI && FFIINNAANNCCIIAALL SSEECCTTOORR RREEFFOORRMMSS::
Functions of RBI - Monetary Policy of the RBI: objectives & instruments – Recent
developments in the monetary policy - Review of financial sector reforms (Narasimham
Committee Report 1991 and 1998).
3 BANKING & NON -BANKING FINANCIAL INSTITUTIONS
Commercial Banking: Developments in commercial banking sector since mid 1980s – Non-
Performing Assets (NPAs) and their Management - Capital Adequacy Norms (Basel Accord
III) - Overview of Non Bank Finance Companies (NBFCs) in India
4 FINANCIAL INSTRUMENTS
Traditional Instruments: Classification and functions of Equities, Debentures and Bonds -
Hybrid Instruments; Different types of bonds such as floating rate bonds, zero interest bonds,
deep discount bonds, inverse float bonds & inflation index bonds.
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6 Board of Studies-in-Business Economics, University of Mumbai
Reference Books
Bhole L. M. (2008): Financial Institutions and Markets, Growth and Innovation, Tata
McGraw -Hill, New Delhi.
Hull John (2002): Introduction to Futures and Options Mark et, Prentice Hall of India,
Delhi.
Khan, M. Y., Indian Financial System -Theory and Practice, T ata McGraw Hill, New Delhi.
Khan and Jain, Financial Services, Tata McGraw Hill , New Delhi.
Meir Kohn, Financial Institution and Market, Oxford University Press. New Delhi.
Pathak Bharati (2008): The Indian Financial System –Markets, Institutions, and Services, (2nd
Edition), Pearson Education, New Delhi.
Paul, J. and P. Suresh (2008), Management of Banking and Financial Services, Pearson
Education, Delhi.
Singh, J.K., Venture Capital Financing in India. Dhanpat Rai and Company, New Delhi.
Simha, S.L.N. Develo pment Banking in India : Madras Institute of Financial Management and Research.
Reserve Bank of India (various issues) Report on Currency and Finance, RBI, Mumbai.
Reserve Bank of India (1997) Occasional Papers, Vol. 18, Nos. 2 & 3, RBI, Mumbai.
Annual Reports of Major Financial Institutions in India.
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7 Board of Studies-in-Business Economics, University of Mumbai
QUESTION PAPER PATTERN
Semester III
Maximum Marks : 100 Marks
Time : 3 Hours
Note : 1) Attempt all Questions
2) All Questions carry equal marks
3) Attempt any two questions out of three in each of question 2, 3, 4 & 5
Question
No Particulars Marks
Q-1
Objective Questi ons:
A) Explain the following Concepts (Any Five from Eight) (Two from
each module)
B) Multiple Choice Questions ( ten questions at least Two from each
Module)
20Marks
10 Marks
10 Marks
Q-2
(from
Module I)
A) Full L ength Question
B) Full L ength Question
C) Full L ength Question
20Mark s
Q-3
(from
Module II)
A) Full L ength Question
B) Full L ength Question
C) Full L ength Question
20Mark s
Q-4
(from
Module III)
A) Full L ength Question
B) Full L ength Question
C) Full L ength Question
20Mark s
Q-5
(from
Module IV)
A) Full L ength Question
B) Full L ength Question
C) Full L ength Question
20Mark s
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8 Board of Studies-in-Business Economics, University of Mumbai
Revised S yllabus of Courses of B. Com . Progr amme at
Semester IV
with Effect from the Acad emic Year 20 17-2018
Business Economics
Financial Market Operation
List of Modul es
Sr.
No. Modu les No.of
Lectures
1
Money Market
10
2
Capital Market
15
3
Debt Market
10
4
Financial Services
10
Total
45
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Objective: FINANCIAL MARKET OPERATIONS
It has been a long journey for the Indian Financial Market. Now it is organized, fairly
integrated, mature, more global and modernized. The Indian Financial Markets are
now getting integrated with global markets. Therefore, it is necessary to study the
Indian Financial Market Operations in an organized manner. This paper aims at
discussing th e recent changes in the financial markets and the evolution of new
financial instruments.
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10 Board of Studies-in-Business Economics, University of Mumbai
Sr.No. Modules / Units
1 MONEY MARKET
Components of organized money market – Call and Notice Market, Treasury Bills Market, Commercial
Bills Market, Market for Certificate of Deposits, Market for Commercial Papers, Discount Market and
Market for Collateralized Borrowing and Lending Obligatio ns - Features of Indian Money Market -
Reforms in Indian money market.
2 CAPITAL MARKET & FOREIGN EXCHANGE MARKET
Capital Market: Structure of the Indian Capital Market –Recent Developments in the Primary Market
and the Secondary Market - Overview of Debt Market in India – Role of SEBI - Foreign Exchange
Market: components and functions.
3 Derivatives Market In India
Meaning of derivatives – Participants in the derivative markets (Hedgers, Arbitragers and Speculators )
–– Significance of derivative markets – types and functioning of financial derivatives: Forwards,
Futures, Options and Swaps - Derivatives trading in India.
4 FINANCIAL SERVICES
Merchant Banking -Functions & Role, Credit Rating -Concept & Types, Functions & Limitations,
Leasing Companies, Venture Capital Funds, M icro Finance.
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Reference Books
Bhole, L. M., Financial Markets and Institutions, Tata McGraw Hill, New Delhi.
Clifford, Gomez : Financial Markets, Institutions and Financial Services,
Nayak and Sana, Indian Financial System and Financ ial Market Operations
Gurusamy : Financial Services, Tata McGraw Hill, New Delhi.
Khan, M.Y. (2007): Financial Services, Tata McGraw Hill, New Delhi.
Pathak Bharati (2008): The Indian Financial System –Markets, Institutions, and
Services, (2nd Edition), Pearson Education, New Delhi.
Sridhar, A. N. (2006); Futures and Options – Equities and Commodities; Shroff
Publishers, Mumbai.
Mukher jee, Ghosh and Roy, Indian Finan cial System and Financial Market Operations, Dey Book
Concern, Kolkata Reserve Bank of India (various issues) Report on Currency and Finance, RBI, Mumbai.
Reserve Bank of India (1997) Occasional Papers, Vol. 18, Nos. 2 & 3, RBI, Mumbai.
Annual Reports of Major Financial Institutions in India.
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12 Board of Studies-in-Business Economics, University of Mumbai
QUESTION PAPER PATTERN
Semester IV
Maximum Marks : 100 Marks
Time : 3 Hours
Note : 1) Attempt all Question s
2) All Question s carry equal marks
3) Attempt any two questions out of three in each of question 2, 3, 4 & 5
Question
No Particulars Marks
Q-1
Objective Questi ons:
A) Explain the following Concepts (Any Five from Eight) (Two from
each module)
B) Multiple Choice question ( ten questions at least Two from each
Module)
20Marks
10 Marks
10 Marks
Q-2
(from
Module
I)
A) Full L ength Question
B) Full L ength Question
C) Full L ength Question
20Mark s
Q-3
(from
Module
II)
A) Full L ength Question
B) Full L ength Question
C) Full L ength Question
20Mark s
Q-4
(from
Module
III)
A) Full L ength Question
B) Full L ength Question
C) Full L ength Question
20Mark s
Q-5
(from
Module
IV)
A) Full Length Question
B) Full L ength Question
C) Full L ength Question
20Mark s