BFF1001 Lecture Notes - Lecture 11: Time Deposit, Asset Management, Share Capital
Document Summary
The main types of financial institutions in australia can be thought of as being either. The focus this week is on adis, managed funds and their activities. An authorised deposit-taking institution (adi) is an entity approved by apra (australian prudential regulation authority) to collect deposits. A bank is an adi approved by apra to use the term bank in its trading name. The heart of banking is to accept deposits and make loans. Banks also play an important role in the payments system and trade securities. Australia"s banking history highlights the changes that have occurred in banks" activities over time. The four major banks account for almost 70% of total banking sector assets, a high concentration by global standards. The banking industry operates thousands of branches, atms and eftpos terminals. The number of branches a bank has is strongly correlated with its market share. Recently there was a trend towards fewer branches, but this has now stabilised.
