FINANCIAL MANAGEMNET ASSIGNMNET-1

SUBMITTED TO: Y.A.M.Rafiqul Haq

Submitted by:

1. Farah Hasan Sarah2. Homayra binte wali3. Priyanka rani sarkar-

101 192 025 101 185 025 101 028 025

3/5/2012

1. How many bonds are available in the market?

The bond market is a financial market where participants buy and sell debt securities, usually in the form of bonds. At present, its main fixed-income financial products are bank deposits, bank loans, government savings certificates, term loans, treasury bills, and government bonds and corporate debt (syndicated loans, private placement, and debentures). But in general the corporate debt market is still very small compared with the equity market. The money market in Bangladesh is in its transitional stage. At present Money market instruments such as Government treasury bills of varying maturity, Bangladesh Bank Bills, Certificates of Deposits, Bankers Acceptance or L/C and Repo and Reverse etc in limited supply are available for trading in the market. The bond market has played a limited role in the Bangladesh economy. The Bangladesh bond market is also rather shallow compared to the neighboring countries.

The Securities Industry and Financial Markets Association classify the broader bond market into five specific bond markets. Corporate Government & Agency Municipal Mortgage backed, Asset backed, and Collateralized Debt Organization Funding

a. Treasury bonds: In Bangladesh, the bond market has only eight corporate bonds. The government has been issuing 5-10 years treasury bonds since December 2003 and 15-20 years bonds since July 2007 in order to meet its borrowing needs. The government has virtually changed the capital raising pattern from a concentration in treasury bills to a significant increase in treasury bonds. Most of the buyers of the treasury bonds are financial institutions. There are 221 treasury bonds. b. Corporate bonds: The debt market in Bangladesh is very small and the corporate debt is even much smaller. The dominance of banking sector in corporate finance implies that the other sources of corporate debt instruments are underdeveloped. There are 3 types of corporate bonds. c. Debenture: there are 8 debentures in the market.

2. Write the criterion in details about at least two bonds.

In this assignment we are to show about the two criterions in details about the two corporate bonds of a. ACIZ Bind b. BRACS Bond

ACIZCBOND:
Code: ACIZCBOND Group: A Category: Corporate Bond Issue Date: March 1, 2012 Issuer: ACIZ bond Face value: 1000.00 Market lots: 4

BRACSCBOND:
Code: BRACSCBOND Category: corporate bond Name: SUB 25% convertible bonds of BRAC bank Face value: 1000.00 taka Current value: 1020.00 taka. Issue date: 15.10.2011 Expired date: 18.10.11 Market lots: 5 Volume: 20 Total trade: 4