金融英语课件6

1、Chapter 6Commercial Banks in the USAThe teaching purpose of this chapterBy the end of the chapter, students should be able to know about the functions of commercial banks in the USA.The bank funding in the USA.Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall2Bank ServicesCommercial

2、 banks provide numerous services in the U.S. financial system. The services can be broadly classified as follows: (1) individual banking, (2) institutional banking, and (3) global banking. Of course, different banks are more active in certain of these activities than others. For example, money cente

3、r banks are more active in global banking.Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall3Individual banking encompasses consumer lending, residential mortgage lending, consumer installment loans, credit card financing, automobile and boat financing, brokerage services, students l

4、oans, and individual-oriented financial investment services such as personal trust and investment services. Eg: Interest and fee income are generated from mortgage lending and credit card financing. Fee income is generated from brokerage services and financial investment services.Copyright 2010 Pear

5、son Education, Inc. Publishing as Prentice Hall4Loans to nonfinancial corporations, financial corporations (such as life insurance companies), and government entities (state and local governments in the U.S. and foreign governments) fall into the category of institutional banking. Also included in t

6、his category are commercial real estate financing, leasing activities, and factoring.Fall into: to belong to or be part of a particular group, or type of things, 属于Entity: 实体实体; eg: economic entity: 经济实体；political entity: 政治实体如：一个州或一个国家；Government entity: 政府实体即政治机构。Copyright 2010 Pearson Education,

7、Inc. Publishing as Prentice Hall5Lease: 租赁租赁Collocations: take out a lease (=start having a lease)：开始：开始一个租赁活动或业务一个租赁活动或业务; renew a lease (=start having a lease again after it has finished)：续租：续租; a lease expires/runs out (=a lease stops)：租赁到期：租赁到期 a long lease：长期租赁：长期租赁; a short lease：短期租赁：短期租赁fact

8、oring: 保付代理保付代理保付代理业务是在以赊销(Open Account)为支付方式的贸易中,由保理商(Factor) 通常是银行或金融机构）向出口商提供的一种集融资,结算,财务管理,信用担保为一体的综合性贸易支付方式,简称保理业务. 分国内保理和国际保理两种.Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall6Loans and leasing generate interest income, and other services that banks offer institutional custo

9、mers generate fee income. These services include management of the assets of private and public pension funds, fiduciary and custodial services, and cash management services such as account maintenance, check clearing, and electronic transfers. Clearing：清算 Custodial: 保管的；Custodian：保管人Copyright 2010

10、Pearson Education, Inc. Publishing as Prentice Hall7Fiduciary来源于罗马法，既是名词，又是形容词既是名词，又是形容词，指一个人具有受托人受托人品格中所要求的关于信任、谨慎善意、坦诚的品格。在布莱克法律辞典1979年第五版（英文）第 563页中，这样的一个人在有关其承诺的事务中负有因其承诺而生的、首先为受托人受托人利益而行事的职责。n：被信任的人或受信人，或代理 adj ：诚信的，fiduciary duty: 诚信责任,诚信eg: Investment banks are fiduciaries to clients, public

11、investors and even the whole society. In breach of such fiduciary duties, the investment banks shall undertake contractual, tort and fiduciary liabilities. 投资银行对客户、投资者乃至整个社会承担一种特殊的诚信义务诚信义务，违反这种诚信义务，投资银行要承担契约、侵权和诚信法律责任。Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall8It is in the ar

12、ea of global banking that banks have begun to compete with another financial institution-investment banking firms. Global banking covers a broad range of activities involving corporate financing and capital market and foreign exchange products and services. Most global banking activities generate fe

13、e income rather than interest income.capital market：资本市场Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall9Corporate financing involves two components. First is the procuring of funds for a banks customers. This can go beyond traditional bank loans to involve the underwriting of secu

14、rities, though the Glass-Steagall Act limits bank activities in this area. In assisting its customers in obtaining funds, banks also provide bankers acceptances, letters of credit, and other types of guarantees for their customers. That is, if a customer has borrowed funds backed by a letter of cred

15、it or other guarantee, its lenders can look to the customers bank to fulfill the obligation. Procure: obtain 获得，获取 underwriting of securities：证券承销 bankers acceptances：银行承兑汇票； letters of credit：信用证Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall10The second area of corporate financi

16、ng involves advice on such matters as strategies for obtaining funds, corporate restructuring, divestitures, and acquisitions.Divestiture: 撤资； Invest: v.投资投资 Divest v. 撤资撤资 corporate restructuring：公司重组 acquisition：n. 收购兼并Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall11Capital mar

17、ket and foreign exchange products and services involve transactions where the bank may act as a dealer or broker in a service. Some banks, for example, are dealers in U.S. government or other securities. Customers who wish to transact in these securities can do so through the government desk of the

18、bank. Similarly, some banks maintain a foreign-exchange operation, where foreign currency is bought and sold. Bank customers in need of foreign exchange can use the services of the ernment desk：国债柜台：国债柜台 Dealer: 交易商；Broker: 经纪商Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hal

19、l12In their role as dealers, banks can generate income in three ways: (1) the bid-ask spread, (2) capital gains on the securities or foreign currency used in transactions, and (3) in the case of securities, the spread between interest income earned by holding the security and the cost of funding the

20、 purchase of that security. bid-ask spread: 买卖差价; Spread: 差额，差价 Capital gain: 资本收益Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall13The financial products that banks have developed to manage risk also yield income. These products include interest rate swaps, interest rate agreement

21、s, currency swaps, forward contracts, and interest rate options. Banks can generate either commission income (that is, brokerage fees) or spread income from selling such products.Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall14Swap: exchange swap sth for sth: He swapped his watch

22、 for a box of cigars. swap something with somebody : The girls chatted and swapped clothes with each other. interest rate swaps（利率互换）（利率互换）:A deal between banks or companies where borrowers switch floating-rate loans for fixed rate loans in another country. These can be either the same or different

23、currencies.多家银行或公司之间的交易，借贷人将浮息贷款转换为另一个国家的定息贷款，两项贷款可以是同一货币或不同的货币。In an interest rate swap, the principal amount is never exchanged, 利率互换中，本金量不会发生变化。Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall15currency swap（货币互换）: A swap that involves the exchange of principal and interest in o

24、ne currency for the same in another currency. 将一种货币的本金及利息交换成为另一种货币本金或利息的互换。forward contract（远期合约）: A cash market transaction in which delivery of the commodity is deferred until after the contract has been made. Although the delivery is made in the future, the price is determined at the initial trad

25、e date. 一种现金市场交易，将交付商品的日期延迟到签订合约后。虽然商品在未来交付，但价格在最初交易日决定。Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall16Interest rate option（利率期权）（利率期权）: Interest rate options allow your company to actively manage its interest rate exposure by providing a form of “insurance” against adverse mark

26、et moves while still allowing you to benefit from favorable market moves. Like all insurance, a premium is typically paid for that protection. That premium can be minimized or eliminated by selling an option that limits some of your upside market potential.利率期权可以让您的公司积极管理利率风险，它在市场出现不利走势时为您提供保险，在市场出现

27、有利走势时让您受益。正如所有保险一样，保障要付出费用，这费用可以通过出售（在升市时限制获利潜力的）期权而得以减少或免除。The three basic structures are the Interest Rate Cap, Interest Rate Floor, and the Interest Rate Collar。利率期权的三个基本结构是：利率上限，利率下限，利率上下限。Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall17Bank FundingThere are three sources of

28、funds for banks: (1) deposits, (2) nondeposit borrowing, and (3) common stock and retained earnings. Banks are highly leveraged financial institutions, which means that most of their funds come from borrowing-the first two sources we refer to. Included in nondeposit borrowing are borrowing from the

29、Federal Reserve through the discount window facility, borrowing reserves in the federal funds market, and borrowing by the issuance of instruments in the money and bond markets.discount window: 贴现窗口贴现窗口federal funds market: 联邦基金市场联邦基金市场Copyright 2010 Pearson Education, Inc. Publishing as Prentice Ha

30、ll18Deposits-There are several types of deposit accounts. Demand deposits (checking accounts) pay no interest and can be withdrawn upon demand. Savings deposits pay interest (typically below market interest rates), do not have a specific maturity, and usually can be withdrawn upon demand.Demand depo

31、sits: 活期存款活期存款Savings deposits: 储蓄存款储蓄存款Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall19Time deposits, also called certificates of deposit, have a fixed maturity date and pay either a fixed or floating interest rate. Some certificates of deposit can be sold in the open market pri

32、or to their maturity if the depositor needs funds. Other certificates of deposits cannot be sold. If a depositor elects to withdraw the funds from the bank prior to the maturity date, a withdrawal penalty is imposed. Time deposits: 定期存款定期存款 Certificates of Deposit(CDs): 定期存单定期存单 maturity date: 到期日到期

33、日Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall20Borrowing at the Fed discount window-The Federal Reserve Bank is the bankers bank-or, to put it another way, the bank of last resort. Banks temporarily short of funds can borrow from the Fed at its discount window. Collateral is ne

34、cessary to borrow, but not just any collateral will do. The Fed establishes (and periodically changes) the type of collateral that is eligible. Currently it includes: (1) Treasury securities, federal agency securities, and municipal securities, all with a maturity of less than six months, and (2) co

35、mmercial and industrial loans with 90 daysor less to maturity. Collateral: 抵押品 Treasury securities: 国库券 municipal securities: 市政债券Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall21The interest rate that the Fed charges to borrow funds at the discount window is called the discount r

36、ate. The Fed changes this rate periodically in order to implement monetary policy. Bank borrowing at the Fed to meet required reserves is quite limited in amount, despite the fact that the discount rate generally is set below the cost of other sources of short-term funding available to a bank. This

37、is because the Fed views borrowing at the discount window as a privilege to be used to meet short-term liquidity needs, and not a device to increase earnings.discount rate: 贴现率贴现率Rediscount Rate: 再贴现率再贴现率Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall22Continual borrowing for long

38、 periods and in large amounts is thereby viewed as a sign of a banks financial weakness or as exploitation of the interest differential for profit. If a bank appears to be going to the Fed frequently to borrow, relative to its previous borrowing pattern, the Fed will make an “informational” call to

39、ask for an explanation for the borrowing. If there is no subsequent improvement in the banks borrowing pattern, the Fed then makes an “administrative counseling” call in which it tells the bank that it must stop its borrowing practice.Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall23Other nondeposit borrowing-Most deposits have short maturities. Bank