Complete assessment of financial-assets management

Financial-assets are instruments which derive value from long-term or short-term contractual agreements. These agreements are mainly between lenders and borrowers.

  1. Government borrows from public giving rise to bonds.
  2. Commercial banks cash acceptances from public create cash deposits.
  3. Listed companies offer ownership rights to the general public thus create stocks.

     These assets are near money.

 Financial instruments are quickly liquidated.  You can dispose of these assets by following a short procedure. This is done through the capital markets facilitated by stock brokers.

The  market brings together buyers and sellers of financial-assets.

You just have to place a sale bid with a prevailing market price. A corresponding buyer unknown to you will bid a purchase price prevailing in the market too. Your stock broker fulfills the trade for both of you. Including processing payments.

 It’s quite straight forward.

How gurus trade in financial-assets. Let’s focus on stocks.

Step 1. Market watch


  A              14.2           13.8    +0.4

  B              11.3          14.4    -3.1


Step 2. Interpret data from the capital market.       

  Company  A price is moving upwards.

   Company  B price is dropping.

Step 4. Make an informed decision.

Gurus take their time to analyze each stock before they commit their money into the capital market. They use all available resources and information.

Four unique benefits of financial-instruments.

  • They are a store of value. Stocks bought for $1345 is worth the same amount subject to the prevailing market conditions.
  • Commercial banks accept stock certificates as security to obtain credit.
  • Trading on assets help to keep the economy vibrant. Trade of bonds and stocks enhances free flow of funds in the economy.
  •  Bonds help to grow wealth gradually. When a bond matures, one gains from the spread.

Are you seeking some help with finances?

There are dedicated professionals who can assist you with managing funds. Check this out.

Prudential plc.

United Kingdom based investment services organization. It is a renowned company.

Read more on their website

   Old mutual plc.

An international asset management company. Parent company is based in South Africa.

They say it better in their own words.


   Britam holdings ltd

They are experts in fund management.

They are dedicated towards your success.

      Click here to know how.

Reporting instruments.

Companies must record assets in their books of records.

As Balance sheet items.

                                                                dr                            cr

Capital                                                                                  $180,000

Issued shares                                    $80,000

Cash at bank                                      $100,000

3yr bond                                                                              $180,000             


Your first paragraph ...