Text A. TYPES OF BANKS.PECULIARITIES OF ACTIVITIES OF COMMERCIAL BANKS

In General, banks are the financial institutions engaged in various types of transactions with money, securities and provide financial services to business entities. Banks produce, store, lend, buy and sell, exchange money and securities, control of the movement of financial resources, handling of money and securities provide cash settlement services. In connection with such a variety of banks can be classified according to certain characteristics.

There are two main types of banks in the banking system the Central (issuing) and Commercial banks.

The Central Bank is the main Bank of the country, which is the emission center, conducts monetary policy, regulates credit and currency relations, supervises the activities of commercial banks, holds currency reserves of the country.

Commercial banks - banks with different form of ownership, performing various types of operations that can be reduced to three main groups: passive (fundraising), active (placement of resources) and cash management.

The functions of banks are divided into two main groups: universal and specialized.

Universal Bank - a credit institution, engaged in all major types of banking operations (Deposit, credit, stock, investment, trust, settlement) and provides banking services to all clients, regardless of industry sector.

Specialized banks the commercial banks perform money and other transactions and provide financial services to certain areas of banking.

In turn, the specialized banks are divided according to key functions (savings, investment, innovation, mortgage, clearing and other banks).

Savings Bank - a specialized Bank, the main activity is to carry out Deposit operations and lending.

Investment Bank - a specialized Bank engaged in investment policies by purchasing shares. Resources of the Bank are generated through the sale of its own shares. As a rule, they do not carry out Deposit operations with the population.

Innovative Bank is a specialized Bank which carries out investment policy, lending venture capital, provides loans to companies for renewal of fixed assets (equipment), realization of scientific and technical programs. Production improvement mainly due to own funds, customer deposits, own issues of shares and bonds borrowed in the banks of issue, deposits. Loans of such banks, as a rule, are medium and long term.

Mortgage Bank - a Bank specializing in transactions for the provision of long-term loans secured by real estate, mainly in the construction of residential and industrial buildings, at relatively high interest rates. These banks may carry out the passive operations - issue mortgage bonds. Depending on the areas of lending mortgage banks are divided into land banks (providing loans secured by land), reclamation (credits to reclamation work, communal banks, providing loans secured by urban real estate).

ClearingBank - a member of the settlement (clearing) chamber, provides banking services - payments on open accounts in it, support important commercial projects, the purchase and sale of securities and the like.

Development Bank - government or private financial institution that promotes investment in the economy, carrying out long-term lending on a large scale strategically important projects.

By the form of ownership banks are distinguished as: state, mixed, international, stock, non-stock, municipal, cooperative, consortia} bow.

State Bank is a Bank located in state ownership and managed by state authorities.

Mixed banks are the banks involving foreign capital, or quasi-banks with the participation of public and private capital.

Interstate banks - monetary resources that are used to conduct a single monetary, social and regional policies of the member countries banks. For example, the resources of the European investment Bank, European development Fund, the European Bank for reconstruction and development, International monetary Fund.

Joint-stock Bank - the Bank authorized capital of which consists of joint funds by the issuance and sale of shares for joint economic activities and profit. Joint-stock Bank is a legal entity and is liable for its obligations within its own capital (property). Each shareholder is responsible to the extent of the value of its shares. The management of joint-stock Bank is an elected collective body (management Board, Board of Directors, etc.). The Supreme management body is the meeting of its shareholders. The Supervisory body is elected by the shareholders ' meeting the Supervisory Board (audit Commission).

Non-equity banks (the classic example banking house) is a private banking institution owned by a person or group of bankers, United in the partnership with unlimited liability. Prevalent in recent times. Creating banking consortia, they get constitutive profit, manage trust funds, carry out trading operations with gold and commodities, as well as conduct of design-consulting, Contracting And brokerage. Providing life insurance and provide many other types of services.

The banking system in any country consists of different number and different types of banks, due to the history of development. The role of banks is very different and their location is determined by the legislation of the state where they are endowed with certain functions.

Text B. TYPES OF MONEY

There are three types of money in the economy, but as members of the public, we will have only ever used two of them – cash, and the numbers in your bank account.[/first]

1. CASH:

Physical money, or cash, is created under the authority of the Bank of England, with coins manufactured by the Royal mint, and notes printed by specialist printer De La Rue. The profits from the creation of cash (known as seigniorage) go directly to the government. Of course, it is inconvenient and risky to use cash for larger transactions. This is one of the reasons why today cash makes up less than 3% of the total money supply. Nowadays people use credit and debit cards, which allow money to be transferred electronically between bank accounts (see point 3).

CENTRAL BANK RESERVES

Central bank reserves are a type of electronic money, created by the central bank and used by banks to make payments between themselves. In some respects they are like an electronic version of cash. However, members of the public and normal businesses cannot access central bank reserves, as they are only available to those organisationswho have accounts at the Bank of England, i.e. banks. Central bank reserves are not counted as part of the money supply for the economy, due to the fact that they are only used by banks to make payments between themselves.

COMMERCIAL BANK MONEY

The third type of money accounts for approximately 97% of the money in circulation. However, unlike central bank reserves and cash, it is not created by the central bank or any other part of government. Instead, commercial bank money is created by private, high-street or ‘commercial’ banks, usually in the process of making loans (as described below). While this money is electronic in form, it need not be – before computers, banks could still ‘create money’ by simply adding deposits to their balance sheets.

Commercial bank money is referred to by various names, including: bank deposits, sight deposits, demand deposits, time deposits, term deposits, bank liabilities and bank credit.

Text C. BANKING

The next day the session was devoted to the United KingdomBanking Sector.

Here is the short summary of the lecture:

 

The UK BankingSector
RetailBanks	21
DiscountHouses	8
BritishMerchantBanks	31
OtherBritishBanks	167
AmericanBanks	44
JapaneseBanks	29
OtherOverseasBanks	290
Total	590
In addition there are 92 Building Societies

Ø Retail Banks: They render numerous services for private customers and have extensive branch networks in the UK. They participate directly in the UK clearing system.

Ø Discount Houses: They are mostly engaged in discounting bills of exchange for the corporate sector.

Ø British Merchant Banks: These are wholesale banks handling big money for private and corporate customers. They are engaged in mergers, take-overs and acquisitions. They also provide consulting services.

Ø Other British Banks: Comprise all other UK registered banking institutions and certain banks in the Channel Islands and the Isle of Man. Theyarecontrolledby UK companiesorindividuals.

Ø American Banks: Comprise the branches and subsidiaries of US banks.

Ø Japanese Banks: Comprise the branches and subsidiaries of banks based in Japan.

Ø Overseas Banks: Comprise the branches and subsidiaries of non- American or non- Japanese banks and Consortium banks. These are jointly owned by other financial institutions, one of which must be based overseas.

Ø Building Societies: In the past they mostly extended mortgage loans, but nowadays they also widely practice taking in deposits and they practically operate as banks.

                                     Vocabulary

The lecture was devoted to banking лу		Лекция была посвящена банковскому делу
retail		розничный
retailbank		банк, обслуживающий мелких клиентов
discount		скидка; учет (векселей)
discounthouse		учетный дом — фир­ма/банк, занимающийся учетом векселей и опера­циями на денежном рынке
merchant		купец
merchantbank		торговый банк
total		общий, итоговый; итог, итого
buildingsociety		строительное общество — учреждение, специализи­рующееся на привлече­нии сбережений населе­ния и кредитовании жи­лищного строительства
torender		оказывать
extensive		обширный
branch		отделение, ветвь
networks		сеть
branchnetworks		сеть отделений
extensivebranchnet­works		разветвленная, широкая сеть отделений
clearing		клиринг — расчеты путем взаимного зачета требо­ваний (платежей)
clearingsystem		клиринговая система
to be engaged in something		заниматься чем-либо
todiscount		учитывать
bill		вексель, банкнота, доку­мент о признании долга
todiscountbills		учитывать вексели
billofexchange		переводный вексель — при­каз выплатить предьявите­лю определенную сумму
corporate		корпоративный, отно­
		сящийся к компаниям
wholesale		оптовый
wholesalebank		оптовый банк
merger		слияние двух или более компаний для образова­ния одной новой
take-over		поглощение одной ком­панией другой (часто во­преки ее желанию)
acquisition		приобретение
tocomprise		включить
theChannel		пролив Ла-Манш
IsleofMan		остров Мэн
subsidiary		филиал
tobebased		находиться
consortium		консорциум
jointly		совместно
to own		владеть
to be owned by somebody		находиться во владении кого-либо
toextend		простираться
loan		кредит
toextend a loan		предоставлять кредит
mortgage		ипотека, ипотечный кре­дит — передача кредитору права на недвижимость в качестве залога за полу­ченную ссуду
nowadays		сейчас
widely		широко
topracticedoingsome­thing		использовать практику чего-либо
deposit		депозит — 1) вклад денег в кредитном учреждении; 2) краткосрочная меж­банковская ссуда
totakeindeposits		принимать депозит
tooperate		работать; управлять
to operate as a bank		работать как банк

Exercises

1. Read the following:

The next day, in the past,otherbanks,the Channel Islands,the Isle of Man, the United Kingdom,the corporate sector. They are engaged in mergers. They are engaged in take-overs. They are engaged in acquisitions. They are mostly engaged in discounting bills.Here is the short summary of the lecture.There are ninety-two building societies in the UK. These are wholesale banks.

2. Answer the following questions:

1. What topic was the lecture devoted to?

2. How many retail banks are there in Britain?

3. How many discount houses are there?

4. How many merchant banks are there?

5. How many other British banks are there?

6. What foreign banks are located in the UK?

7. How many building societies are there in Britain?

2. Translate into Russian:

Banking, merchant, banks, banking sector, overseas banks, retail banks, building societies, discount houses, clearing system, to discount bills, acquisition, private, customer, consulting services, corporate, customer, branch, corporate sector,

subsidiary, merger, mortgage, take-over, mortgage loan.

3. Choose the definitions for the following terms:

retail banks   discount houses merchant banks   building societies

banks extending mortgage loans, taking in deposits and providing other banking services banks serving private customers banks serving private and corporate customers with big money banks discounting bills of exchange

4. Complete the sentences using the information from the text:

There are a few types of foreign banks based in Britain. They are American, Japanese and other overseas banks.

American banks ...

Japanese banks ...

Overseas banks ...

5. Fill in articles:

1. ... next day ... session was devoted to ... United Kingdom Banking Sector.                    2. Here is ... short summary of... lecture.3.... UK Banking Sector comprises retail banks, discount houses, merchant banks, foreign banks, building societies and other banks. 4. They participate directly in … UK clearing system.

6. Fill in prepositions:

1. Retail banks render numerous services ... private customers and have extensive branch networks ... the UK. 2. They participate directly ... the UK clearing system.

3. Merchant banks are wholesale banks. They handle big money ... private and corporate customers. 4. They are engaged ... mergers, take­overs and acquisitions.

5. Nowadays building societiesalso widely practice taking … deposits and they practically operate as banks.

7. Complete the sentences:

1. Discount houses are mostly engaged in discounting ... 2. American banks comprise the branches ... 3. Japanese banks comprise ...4. In the past British building societies mostly extended mortgage ... but nowadays they also ... as banks.

8. Underline the verbs and translate the sentences into Russian:

1. Other British banks comprise all other banking institutions regis­tered in the UK and banks in a few islands. 2. They are controlled by UK companies or individuals. 3. Overseas banks are foreign banks ex­cluding (исключая) American and Japanese banks. 4. They comprise the branches and subsidiaries of those banks and Consortium banks too. 5. All these banks are owned by other financial institutions. 6. One of the owners of every bank must be based overseas.

9. Role play:

Imagine you are a lecturer. Speak on the types of banks in Great Britain.

10. Agree or disagree:

Types of banks in Kazakhstan are similar to those in Great Britain.

⇐ Предыдущая12345678910Следующая ⇒

Поделиться: