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Main Branches of Finance
Finance is divided into different categories. Generally speaking, it is the science of managing funds. The main areas where finance is applied are business finance, personal finance and public finance. This includes the study of bonds and derivatives.
Here are the major categories of finance:
Corporate Finance: This finance branch deals with the financial processes of the business organization in the short and long term. This includes studying capital structure, financial resources, financing etc. Corporate finance is a share of funds to keep the business functional and expand operations with time. Professionals who deal with corporate finance regularly face financial challenges.
Personal finance: It is related to the financial decisions made by a person. Personal finance mainly includes activities such as savings, taxation, insurance, mortgage, loan, etc. People always make decisions in personal finance. This sector is ideal for finance professionals who like to interact with customers. The personal finance professional's duty is to advise people on how to improve personal finances and reduce debt.
International Finance: This includes an evaluation of international economic activities. This branch of finance learns important economic concepts such as foreign investments and exchange rates.
Behavioural Finance: Behavioral finance is to study theories and studies based on the stock market. It mainly contains understanding the behavior of customers, traders and investors.
Public Finance: Professionals in public finance interact with public institutions such as government agencies, state affairs and school districts. Their role is similar to that of corporate finance professionals. Some of these professionals engage in political activities and use their experience for positions in public offices.
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Need help with finance homework? Here are some of the topics covered: Capital Budgeting Decisions, Cash & Liquidity Management, Hedging, International Funds, Ratio Analysis, Insurance Topics, Time Value of Money, Assessment of Bonds, Risk Management, Behavioral Finance.
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