How can the capital market create a better future for all. Pls as an essay or points.a point
Answers
Answer:
In Nigeria today, many people think that the government are liar s about whatever idea they bring out. But at times it wok for our good for example the capital market. The capital market can help to create a better future in the following ways. At first the capital market provides the incentive and means for people to work hard. Also’ it is used for entrepreneur and business owners. It also increase the equity of a company base. And also helps in wealth or capital gain.
From the point listed above, the capital market helps to provide the incentive and means for people to work hard. It is true because it would result in more collective productivity and to grow every ones benefit. In such a way that when there is decrease in the price of a product and many people are in need of such thing in order to satisfy his/her self.
Also, it can help the entrepreneur and business owners. It can help the business owners with their usual entrepreneurial spirit and aggressiveness in their pursuit of success, and to sustain business expansion and growth. The capital market can also be seen as a blessing that makes a company develop and sustainable. But it is a dangerous idea for a family owned business to make a bold diction to bring their company high, but better for the public business owners.
In addition , it also increase the equity of a company base. In such a way that if a company owner include capital market in his company ,the company will grow because when it is used a lot of individuals and institutions will have business with such company, and if that happens the company’s foundation will be solid and rigid and there will be no borrowing of money from other company or collecting loans from the bank.
It also helps to wealthy and to have a capital gain. It is true because whenever the price of the security listed in the market goes up, the value of the investment of the holders of those securities increases. This is called capital gain and in an important way of growing wealth though the stoke market. It is also important to note that a one-off investment in the capital market does not make sense . It is therefore the accumulative investment over times that create opportunities for growth in wealth through the capital market.
In conclusion, from all the points above we can see that the capital market helps a lot if and only if it is implemented on every aspect of business organization. And i will be glad if all the companies and the government it self could make use of this precious opportunity in order to build our developing country every thing will change.
Capital markets can create a better future for all. As it helps to channelize in the funds into the market for the creation of liquidity.
EXPLANATION -
The capital market helps in channelizing the funds well to the market.
Capital leads to the creation of money through money by investing in shares, debentures, and bonds.
They deal in the paper value, not with the money current value.
The capital markets help to bring concentrated funds into liquidity.
This helps to maintain stability in the market.
The capital market is flexible in working as per the trends.
Conclusion-
The capital market deals with the paper value. The money can be drawn back and invested again as per the situation of the economy.The capital is a silent market where the customer creates networking and deal with fresh as well as the resale assets.
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