Financial market comprises variety of instruments, hence its functioning totally depends on instruments held. Usually it can be classified according to type of financial instruments and according to terms of instruments’ paying-off.

From point of different types of instruments held market can be divided into one of promissory notes and one of securities (stock market). The first one contains promissory instruments with right for its owners to get some fixed amount of money in future and is called market of promissory notes, while latter binds issuer to pay a certain amount of money according to return received after paying-off all promissory notes and is called stock market. There are also types of securities referring to both categories as, e.g., preference shares and converted bonds. They are also called instruments with fixed return.

Another classification is due to paying-off terms of instruments. These are: market of assets with high liquidity (money market) and market of capital. The first one refers to market of short-term promissory notes with assets age up to 12 months. The second one refers to market of long-term promissory notes with instruments age surpasses 12 months. This classification can be referred to bond market only as its instruments have fixed expiry date, while stock market’s not.

Now we are turning to stock market.

Stock market As it was mentioned before, ordinary shares’ purchasers typically invest their funds into company-issuer and become its owners. Their weight in process of making decisions in company depends on number of shares he/she possesses. Due to financial experience of company, its part in market and future potential shares can be divided into several groups.

1. Blue Chips Shares of large companies with a long record of profit growth, annual return over $4 billion, large capitalization and constancy in paying-off dividends are referred to as blue chips.

2. Growth Stocks Shares of such company grow faster; its managers typically pursue policy of reinvestment of revenue into further development and modernization of company. These companies rarely pay dividends and in case they do dividends are minimal as compared with other companies.

The amount available to borrow with secured loans is dependant upon amount of equity available in your property, which means amount of market value minus any loans or mortgage outstanding on it. There are many benefits available with secured loans, and you will find that this type of finance is one of most cost effective options available. With secured loans you can look forward to far lower interest rates than most standard, unsecured loans, and this is because there is less of a risk to lender since loan is secured against an asset.

Secured loans also offer far high borrowing levels than unsecured loans, although amount available to borrow will depend in your equity. However, you could find yourself eligible to borrow tens of thousands of pounds with secured loans, which could prove invaluable if you are looking to raise a large amount of finance for just about any purpose. The repayment period with secured loans is also far longer than with unsecured loans, which means that your monthly repayments will be far lower.

The other great thing about secured loans is that they are far more easily accessible to those with poor credit than a standard, unsecured loan. This is because lender has to take less of a risk with secured loans, as they are secured against an asset, and lender is therefore usually more willing to consider those with bad credit for this type of finance. Bad credit secured loans are available at really reasonable rates, which means that you can enjoy lower repayment terms even if your have a tarnished credit history.