Financial markets Essay Example | Topics and Well Written Essays - 1500 words

Financial marketplaces - Essay ExampleSo an in-depth compendium has been done to determine if debt or justness will be a good option for natural elevation capital from the market. The data revealed that due to the environment of uncertainty it is better to maintain a portfolio of both debt and equity instruments. The different debt and equity options are discussed in the report so that companies can maintain tradeoff betwixt risk and return and design the financial plans accordingly.ABC is an Australian company listed in Australian Securities trade (ASX). The company is in service sector and enjoys a high credit rating. It has been found that ABC enjoys sizeable financial structure as come up. At present the company is planning to undertake expansion outline and for that it has to raise capital. Before finalizing any decision, the management would be interested to evaluate the future of Australian engagement rates in coming months.For determining the future interest rate, a thorough analysis of Australian market needs to be done taking into consideration all those factors which directly or indirectly influence the interest rate. Emphasis should be given on both domestic as well as international market conditions.This paper will also research to determine the appropriate finance instrument for the company as per the future interest rate condition. The main aim of the management is to fetch a balance between cost of capital and risk factors.The research information and data is record under different section. The first section provides an in-depth analysis of present and future market condition in Australia. The future prospect of interest rate is forecasted undertaking all the factors which influences it. In the second phase a strategy will be developed that helps ABC to finance their business according to the future market scenario and finally in the last section a discussion to support the recommended strategy and how the