1.State one financial service rendered by factor.
2.Which one of the following is not a feature of Cottage Industries?
a) Usage of simple equipment
b) Small capital investment
c) Usage of Private resources by individuals
d) Production of Goods by using imported technology
Answers
Explanation:
The following points highlight the top thirteen financial services rendered by public sector banks of India. The services are:- 1. Merchant Banking 2. Leasing 3. Venture Capital 4. Mutual Funds 5. Factoring 6. Housing 7. New Technology in Banking Mechanisation 8. Customer Service 9. Banking Ombudsman 10. Credit Cards 11. Installation of ATMs 12. Hire-Purchase Business 13. Consumer Credit.
Service # 1. Merchant Banking:
Merchant banking includes such services as management of public issues, loan syndication, financial and management consultancy, project counselling, mergers and acquisitions, management of non-resident investments, etc.
The credit for starting merchant banking in India goes to foreign banks like Grindlays Bank, Citibank, etc. At present, a number of public sector banks are performing merchant banking services which are the subsidiaries of banks. Some of these are SBI Capital Markets Limited, Bank of Baroda Merchant Bank Division, Canbank Financial Services Ltd., All bank Finance Ltd., Union Bank of India Merchant Bank Division, PNB Capital Services Ltd., BOI Finance Ltd.,