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Monday, April 22, 2019

How Has the Introduction of the Computers And IT to Markets Changed Research Paper

How Has the Introduction of the Computers And IT to Markets Changed the Way Stocks And Bonds Trade - Research Paper drillComputer technology and cyberspace has changed the dynamics of global pecuniary markets and this will be explained in considerable detail. Information technology has increase the dissemination of training and this has contributed to the growth of financial sector all everywhere the world. Information technology has also make financial markets of the world integrated. The reputation will help rate possible effects of development of information technology and computer on the financial markets, specialally on bond trading and stock trading. Research Question Information technology has brought many changes in our nonchalant life. The financial markets all over the world are now in the reach of habitual investors which was previously not possible. But this is just one effect of information technology and computers on financial markets. In order to better un derstand how computers and internet have revolutionized stock and bond trading the more aftereffects of information technology should be identified. Research question we would want to answer through this study is given downstairs Question How has the introduction of the computers and IT to markets changed the way stocks and bonds trade? Literature Review Financial markets started to grow rapidly in the 1980s when financial liberalization became the norm. Countries like United States started to liberate their financial sectors and deregulation started in the financial markets. Private firms and investment houses were given freedom to come up with newer products and offer investment option to normal investors. Financial liberalization foc utilize on deregulation of financial markets where central banks procedure was just to control inflation. This was the time of significant growth in the financial markets and investment firms... The author stresses that the results of the study hav e identified changes that information technology and internet has brought to trading of stocks and bonds. Information technology has increased volumes and volatility, has increased global integration, has made markets more efficient, and has increased complexity of financial products. These changes are not disputed at all and most of the literature available on the internet supports our findings. Information technology has also made markets more efficient since the dissemination of the information has improved. Now a press conference in the States can be seen live in any part of the world and investors can make decisions accordingly. earnings and computers have so made sure that news or event is represented in the prices of stocks. network has made it impossible to hide information from investors. This report makes a conclusion that Internet trading is a growing market and investment firms should try to capitalize them. Also youth is getting attracted towards online trading there fore this should also be kept in mind before launching newer products. More accurate entropy can be collected by conducting a survey based quantitative study. Impressions of youth and internet traders can be taken regarding stock and bond trading. This can more accurately predict specific changes that have come in trading patterns after advent of internet and computers. Longitudinal studies can also help explore more specific trading activity related questions. The research we have conducted has a major limitation. We have not collected any primary data and previous literature has been used to answers research question.

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