finance

Finance is a concept that relates to balancing risk and profitability and can be exercised by an individual, organization or government. It normally involves a set of objectives and constraints designed to yield rewards. Today, finance most often relates to the “financial instruments” backing the value of goods or services. Financial instruments are bought and sold to provide a yield assuming risk is managed properly.

How financial instruments are valued is complicated and prone to market speculation.

Financial instruments come in a variety of forms, including stocks and bonds. When these instruments are owned, they are assets. They then are used to provide credit, which is used to invest in goods and services.

When risk isn't managed properly, financial instruments lose value. Governments regulate finance to protect the public-at-large from greed. Greed can also cause outright fraud, which is another reason for regulation.

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Original Technorati articles tagged “finance”

• in Finance
  Conservative Buying Forces Invescor To Close
  Life settlement industry rebound too little, too late for Invescor.
  by amritafinancial / on Jul 19, 2010
• in Finance
  Tax Incentive Extension Provides Relief for Buyers, Market
  Tax Incentive keeps buyers in the game, may keep market afloat as well
  by FSREI / on Jul 6, 2010
• in Politics
  Financial Overhaul Nothing More Than Government Power Grab
  Proposed legislation would alter the American economy forever
  by sdgully / on Jun 26, 2010

Latest blogosphere posts tagged “finance”

 

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