What is finance?

o Finance is the study of money and how to manage it

o Money is an asset (active)
o Uncertainty is a risk and is a major component of finance

Division of finance
o Institutions
o Business finance management of finance in the business
o Investments
o Financial Market  Were all these 3 meets. They need each other.
 Make sure that the money flows. They are key for the development
of nations
 A physical o virtual market in which financial assets can be
purchased or sold
 Funds are transferred in financial markets.
 Financial markets provide liquidity to financial assets:

World Central Banks

o Power to influence interest rates.
o They do that to control inflation
Inflation kicks
o Tendency to prices to go up
o The first to go up is energy
o Prices going up and production goes
down and that causes more
inflation
o Increase interest rates is the most
effective to control inflation
 Lower inflation
 Higher unemployment
Crypto-Currencies
o Blockchain and Crypto
 Digital database or ledger that is distributed among the nodes of a
peer-to-peer network

o FTT
 Created in 2019
 Created by FTX (company)
 FTX
 Largest cryptocurrency trading platform
 Allowed you to do everything you can do in stock markets,
but using cryptocurrency
 Was declared Bankrupcy on 11/11/2022
 A 50B company 2 months ago and now value 0?
FinTech (Financial Technology)
o Making Finance cheap (near 0 cost)
o Increase assets
o Used to describe new tech that seeks to improve and automate the
delivery and use of financial services
o Used to help companies, business owners and consumers better manage
their financial operations and processes.
o Low cost borrowing mortages
o Cheap mobile apps and webs that can find you a bank with a better interest
rate, etc.
o Why it is needs
 Increase affordability. Creates competition with drives innovation
and even more competition
 Access to the market. Brings investment, money transfers ad
affordable loans to millions around the world
  Security. Enhances security as markets are descentralized.

Markets are volatile

The ones who win are the ones who dare win
o Invest!

You can start with money you don´t need.