Articel about Bankinstruments from Prof. Dr. Bernt Bühnemann Articel about Capital market from A. H. J. Stürwold
High Invest
Money market and financing instruments

.: The bank guarantee trade
.: SLC (Standby type character OF Credit)
.: STI (Short term Investment)
.: MTN' s bank debentures
.: Treasury bond and Treasury Bills
SLC (Standby type character OF Credit)
STI (Short term Investment)

Why is this kind of instruments almost unknown?

Beside the well-known bank switch business there are at present to approximately 7,500 money market and financing instruments (It. List of the bank for international clearing payment, BIZ, in Basel), which is absolutely unknown however to the conventional banking customer.

This above all because the banks do not have interest to let their customers participate in Investmentformen with unusually high net yields.

...

Often enough put therefore financial establishments their special attention to limit the knowledge of the salesmen trained by them mainly to which is sufficient for the sales of the products offered by them.

Like that it is not amazing that bank employees appear with products, which lie outside of the usual sphere usually directly overtaxed.

Their reactions are coined/shaped therefore often of a general defense behavior and culminate pretty often in the statement that there are not determined products at all on the market.

Due to such behavior of the bank salesmen and by the reverence, before the authority assumed at this person's group, it is a logical consequence that the customers are disconcerted with demands for products with unusually high net yields and led back in this way usually again into the standard products of the banks.

Instruments with higher net yields develop however from the needs of the banks, whereby they intend the rules of the cash transaction for large parts.

And if they can do without the co-operation of private investors, they do it also.

There is however business, with which they are forced due to legal regulations to be able to complete of natural and legal entities (investors) to avail themselves around these cash transactions. It concerns pretty often measures, which are made from banks to the raising of funds at the free capital market.