Modern financial investment

It is based on the fact that most investors choose to invest more than one instrument, ie generates a set of them. In the formation of an investment portfolio should be guided by the following considerations: safety of investments, revenue stability, liquidity of investments. One of the key elements of effective portfolio management is designed investment policy should ensure the effective management of the portfolio securities of the bank, careful control over them and minimizing losses from the onset of the investment risks. Profit is the main goal of the banks. Profit - this is expressed in net cash income of the entrepreneur on invested capital that characterizes his reward for the risk run business and is the difference between total revenue and total cost in the implementation of these activities. That ensures the formation of profit and reserves for unforeseen losses possible in the banking industry, stimulates the activity of management personnel to improve the operation of the bank, reducing costs and improving competitiveness. High profits role in the development of the bank and ensuring the interests of its founders and staff determines the need for effective and continuous management. The most important factor affecting the amount of all income of the bank, the bank's income is the amount obtained in the normal course of business. While revenue management a focus on active operations, as the main source of income is income from the bank's active operations, so their efficiency determines the final financial result. Bank's activities relating to the implementation of different types of costs: operating costs associated with the solution of tactical problems of the bank (servicing of funds raised from individuals and legal entities, employee benefits, utility costs), long-term costs associated with the strategic objectives of the bank (branch network development, acquisition of fixed and intangible assets, providing solution of tactical problems of the bank). The main objective of cost management - the creation of a mechanism to optimize the cost of the bank, bring them in line with the selected return. Increase profitability and reduce risk, identify financial goals of the bank for immediate and future prospects are the main financial management of a commercial bank. Pravex is a multifunction financial institution that provides a full range of banking services to both retail and corporate customers. Category: Health and Safety