hi, everybody here i would like to put my points forward on banking culture which was among one of the prominent causes for the economic recession.The world of commercial banking is undergoing a deep transformation
as a result of marketable instruments competing with loans and demand deposits. Because of this strong competition, commercial banks are struggling to make acceptable margins from their traditional business entering into investment banking. Due to innovation of complex financial instruments such as CDO'S, CLO'S, CMO'S and CDS and much more in pandora's box, thanks to our strict decorum by RBI which keeps away most of the derivatives instruments from trading easily.In my perspective creating the new financial structures is not bad but the creator should have proper understanding of the instruments and the instrument should be judged properly in most of the different scenarios.Indeed the instrument should have the marketable accessibility.
