Abstract This paper discusses the banking system and looks at how safe the banking system really is. The paper explores the laws that govern these institutions in order to see if they are stringent enough to protect most consumers who utilize the banking system today. The paper begins with a brief history of the banking sector, from ancient basic banks to the modern day corporate structures which are more common. The paper then examines each of the major bankinglaws in place supposedly for the protection of the consumers.
From the Paper "So if banking and finance laws have been passed to protect investors and bank customers, is the banking system safer? Maybe, but because your money is in their vaults, the banks may have a measure of undue influence over you that you?re not even aware exists. Undue influence is defined as ?the domination of one party by the other in order to influence their judgement.? (Granger) With undue influence, there is no specific incident or single threat that occurs. ?The common law developed the doctrine of duress to define the limits of legitimate persuasion...equity developed undue influence to extend the reach of the law to other unacceptable means of persuasion.?"
Abstract The world of business has changed dramatically in recent years, yet one sector-banking-remained shackled by age-old regulations. That is what the framers of the Glass-Steagall Act intended.
From the Paper "The world of business has changed dramatically in recent years, yet one sector-banking-remained shackled by age-old regulations. That is what the framers of the Glass-Steagall Act intended. The law, passed in 1933, placed strict limits on banks to prevent a repeat of the Great Depression. In recent years, however, Glass-Steagall has come under attack, with banks, politicians, and even regulators calling on Congress to reform federal regulation of financial institutions. This paper will examine the politics of bank reform, and how a concerted and expensive lobbying effort finally paid off in 1999.
The Glass-Steagall Act, which Congress passed in 1933, sought to cure the excesses that spurred the Great Depression. The legislation also sought to restore the nation's faith in banks. During the 1920s, banks served as underwriters on..."
This study investigates the feasibility of introducing Islamic banking as an alternative system of banking in the United States, but not as a replacement for the existing system of banking in this country.
Abstract The purpose of this study is to examine and assess the issues involved in any effort to implement Islamic banking as an alternative system of banking in the United States. The study pursues this purpose through the investigation of the following research questions: 1. Is it probable that Islamic banking and interest-based banking can co-exist within the economic structure of the United States? 2. Is the potential market for Islamic banking in the United States sufficiently large to make Islamic banking feasible in American society? 3. What laws, state and federal, require change to permit Islamic banking to operate in the United States?
Chapter 1
Introduction
Statement of the problem
Purpose of the Study
Key Factors for Investigation
Background on the Problem
Approach to the Investigation
Overview of the Study
Chapter 2
Literature Review
The Crucial Role of Interest
The Development of Banking Systems
Sources & Uses of Funds in Islamic Banking Chapter 3
Method
References
From the Paper "Islamic economics has two principal components. The first component is a constant set of principles derived from the Qu'aran, which are the economic principles governing all Islamic activity, and which are unchanging. The second component is a flexible set of principles also derived from the Qu'aran, but which may be adapted to environment, time, or place, while remaining within the boundaries of the unchanging principles (El Araby, 1997). In Islam, any enterprise ? economic or otherwise ? may be an act of devotion, if entered into with the correct intentions. The welfare of the whole of the human race according to the will of God is the ultimate goal of all Islamic economic activity. The social responsibilities of business organizations are part of the moral obligations of the individuals operating such organizations in an Islamic society (El Araby, 1997). All economic systems are concerned with the relationship between the public and private sectors. In capitalist systems, the emphasis is on the private sector, although the degree of such emphasis varies between countries. One result of this capitalist emphasis is the cyclical recurrence of significant problems ? inflation, unemployment, and recession, while a second result is an increasing concentration of productive capacity ownership into a relatively few private hands. Islamic economics assumes that no conflict exists or will develop between the public and private sectors, and that each sector works for the greater good of society. The applications of the principles of any system ? capitalist or Islamic ? are usually less than perfect. Therefore, conflicts do occur within Islamic economic systems; however, in Islam, the settlement of such conflicts is according to the criterion of the greater societal good, as opposed to settlement on an ideological basis of property ownership, political imperative or agenda, or similar factors that is often true in capitalist economies."
Abstract This paper explores the views of Islamic law, also known as Sharia, on banking, including the prohibition of interest. The paper studies the banking products offered by a bank called Noriba, and asks whether Noriba's products are in keeping with Sharia. The paper concludes with a discussion of the ramifications of Islamic banking on globalization.
From the Paper "Commercial banking has been a part of the Western business world for hundreds of years. It is common for Westerners to deposit money into an institution and receive interest on that money. The financial institutions..."
Abstract This research paper describes the process of forming a bank holding company in the United States. The behavior of a bank holding company is strongly linked to the success of the banks it holds. Therefore, if business leaders can pinpoint how to set up a successful holding structure, they may have a better chance of successfully progressing their business. This study examines the positive and negative aspects of forming a bank holding company. By reviewing existing literature and conducting an empirical study, the author provides recommendations about the structure and governance of bank holding companies to help interested parties determine the best way to form a bank holding company.
Table of Contents:
Chapter 1 - Introduction
Statement of the Problem
Purpose and Importance of the Study
Scope of the Study
Rationale of the Study
Definition of Terms
Overview of the Study
Chapter 2 ? Literature Review
Understanding Banks Forming and Expanding a Bank Holding Company
Financial Holding Company Requirements
BHC Regulations
Capital Building Options for Bank Holding Companies
Pros and Cons of Forming a Bank Holding Company
Stocks and Governance
Corporate Governance and BankingLaw The Role of Bank and Holding Company Audit Committees
Chapter 3 - Methodology
Data Gathering Method
Database of Study
Validity of Data
Chapter 4 - Data Analysis
Chapter 5 - Summary, Conclusions and Recommendations
Bibliography
From the Paper "Third, when the governance of the holding company works as it should, all of the interested stakeholders become aligned. The umbrella supervisor, the holding company, the bank, and the bank supervisor should work toward the same goal: the safe and sound operation of the enterprise. Holding company control is one salutary structural feature that should remain."
Abstract This paper documents the rise and fall of the First Bank of the United States created in 1791. It describes the major criticism of the bank, how it interfered with the development of the banking system and economic growth. It explains how the Second Bank of the United States rose from the demise of the First Bank, and what caused the closure of the Second Bank.
Tags: Central bank, first bank of the united states, second bank of the united states, implied powers, constitutional law, madison, hamilton, washington, fiscal policy, inflation, veto
Abstract The paper discusses the effectiveness of corporate governance in banking and financial systems in Malawi, an African developing economy. The paper begins with a discussion on the history of Malawi combined with a short explanation of its economy and past laws affecting the banking industry. The banking industry in Malawi is then critiqued along with a general discussion of the manner in which banks operate and affect a country's economy. Next, the paper analyzes the larger financial institutions such as the World Bank and the International Monetary Fund in the context of Malawi's economy. In addition, the available literature on the topic is outlined, broken down into different sections. Furthermore, the paper assesses the effectiveness of corporate governance in Malawi's financial sector and proposes a study for future work. Finally, predicted results of the study are outlined, and well as recommendations for implementing and establishing better guidelines for corporate governance in Malawi's financial services and banking industry.
Outline:
Proposal
Introduction:
Corporate Governance in Malawi
Proposal Conclusion
An Overview of the Role of Commercial Banks Malawi's Financial Services & Banking System
Literature Review
Public Sector Management
Public Policy Formulation
Decentralization
Corporate Governance
Purpose of the Study & Methodology
Proposed Study Methodology
Conclusion
From the Paper "The effectiveness of corporate governance in Malawi's commercial banks is an important issue given the essential role banks play in the financial systems of developing economies and the widespread banking reforms that these economies have implemented. Although the subject of corporate governance in developing economies has recently received a lot of attention in the literature, the effectiveness of corporate governance of banks in Malawi has been almost ignored by researchers. In developed economies, the corporate governance of banks has only recently been discussed in the literature. In order to address this research deficiency, this paper discusses some of the key concepts and issues for the corporate governance of banks in Malawi that can be applied to other developing economies. In many developing economies, the issue of bank corporate governance is complicated by extensive political intervention in the operation of the banking system. Malawi is a low income country where economic development is a priority for a future stable economy. Economic development consists of capacity building, good governance and economic reform. Acquired skills cannot be utilized fully and institutions cannot operate efficiently without good governance; similarly, economic reform cannot be implemented properly without institutions that are functioning well ."
Abstract The paper discusses the legal, regulatory and ethical dimensions of website operations within the financial services industry. The paper focuses on the protection and use of personal and private data by users and consumers. The paper discusses the various security strategies for website operations and the increasing state, federal and international emphasis on this dimension of website operations.
Outline:
Abstract
Overview
State & Federal Laws USAA Website Security
ING Website Security
Scottrade Website Security
Conclusion
From the Paper "The single most important legal, ethical, and regulatory dimension for the banking industry and its expansion into the online environment has been centered on the protection of personal data and information of its customers. The actual execution of data security from an IT perspective within the banking industry, both online as well as general back-office operations involves a series of technologies that together can form an effective barrier from intrusion."
Abstract This paper argues that the nature of the Arab-Israeli conflict, in itself, is not irresolvable. International law clearly provides the means for settling the issue; Israel and Palestine should both recognize the other's right to existence and security, and pre-1967 borders, with no exceptions, should be respected. The paper argues that were we living in an international community in which international relations were determined by the just application of the law, the conflict may have been resolved. However, since we are living in an international community in which international relations are determined by force and power, the conflict is constantly becoming more and more critical because one side to the conflict has been given the power to disregard the law, while the other has been denied the protection of the law. The paper shows that the Arab-Israeli conflict is not, therefore, examined in this research in order to argue a solution, but as a means of exposing, in the author's opinion, the true face of international relations as governed by the law of force and power.
From the Paper "At the very start of the occupation, that is in 1967, Israel admitted that it was an "occupying force." A few years later, Israel insisted that it had to continue its occupation of Arab Palestinian lands until a final peace treaty was signed. Meanwhile, Israel began to establish Jewish settlements, or what can be defined as small Jewish villages, on the Arab lands. To justify doing so, contrary to international law which prohibited an occupier from establishing settlements on occupied territories, Israel stated that these territories were "of strategic importance to its defense," and therefore, "land would be expropriated for settlements that would serve Israeli security interests." At this point, Israel stated that the status of these occupied lands would be negotiated over in the final peace settlement."
This in-depth paper a provides a benchmark pertaining to the careers of bank managers in Pakistan, while also delving into the banking industry in the Islamic run country.
Abstract This well-researched paper examines Pakistan's evolving and constantly developing banking industry from the 1940s and up the present. The writer of this paper supplies in-depth insight into the pressures as well as the numerous financial and cultural demands and expectations currently facing bank managers in both the private and public banking sectors. This paper analyzes Pakistan's political history and its resulting impact on the country's banking industry. The writer of this paper delves into Pakistan's socio-political culture which greatly affects the vision, goals and leadership style of the country's bank managers. This paper also contains various financial tables, lists and illustrated graphs pertaining to this particular topic.
Table of Contents:
Abstract
Introduction
Political and Financial History Intertwined
Effect on Pakistani Bank Managers
Cautionary Tales
The Opposite Side of the Coin
Pakistani Banking Structure
Pakistani Banking: Recent Past
Upsetting Events in Pakistan's Banking History vis-a'-vis Managers
The Best Bank Other Banks Challenges for Managers in the Banking Industry
Current Initiatives
Literature Review
Summary
Statement of Research Question
Methodology
Findings
Manager One: NBP Managers
Manager Two: New Hire from Lahore Business School
Manager Three: Year 2000 Graduate of a Business College in Germany
Manager Four: Islamic Bank Manager
Manager Five: Graduate of Irish Business College
Manager Six: Recently Promoted Manager at a Local Branch in the Capital
Manager Seven: Human Resources Manager at the Islamic Bank Manager Eight: Temporary Branch Manager in Small Town
Manager Nine: Former Bank Employee, Government Bank Manager Ten: Graduate of Lahore Business College (2)
Bank Manager Career Themes
Discussion
Conclusion
Appendix A: Islamic Modes of Financing
Appendix B: Recent Listing of Banks Operating in Pakistan
Appendix C: Questions for Bank Manager Interviews and Process
Appendix D: Recommendations by Mehmood-Ul-Hassan Khan
References
From the Paper "The best way to determine what the future might hold is to understand the past and the present, and add to that the changes seen by experts on the horizon. Therefore, constructing the history of Pakistani banking forms a major part of the current research; outlining contemporaneous changes and decisions regarding Pakistani banking made by its most senior officials is also important to understanding the influences on bank manager career tracks and attitudes. In addition, an extensive literature review of those factors that generally contribute t manager career orientation in any business will help understand the Pakistani bank managers' positions. Interviews with at least a few current Pakistani bank managers will display the attitudes they currently hold, and provide insight into what they expect in the future and what would make them more or less career-oriented."
Abstract This paper discusses individual commercial banks and how they service their customers. It analyzes the quality of banking services that a customer gets and how the services are provided to the customer. It describes the three main channels for banking today - through branches, through the internet and on telephone.
Table of Contents:
Introduction
Chapter I
How Internet Banking Has Grown In The Last Decades, Especially Regarding New Product Being Offered
Evolution of Internet Banking Present Status and Profile of E-Banking Offered By Banks Nature of Product Offered
Chapter II
The Operations of Banks In Different Areas: What Is The Contribution?
Effects of E-Banking on Banking Operations: What Is The Contribution of Internet Banking Toward The Business?
Chapter III
General Benefits of Banks From E-Business and Other Communication
Performance Measurement
Chapter IV
Reality of System Risks and Control
Conclusion
From the Paper "To understand the relationship that can develop between the Internet and banks, one has to first understand the nature of both these items. The first to be understood is the banks. So far as banks are concerned, at the beginning of the twenty-first century, central banking which is the source of all banking activity would appear to be at a crossroads in their future. Earlier it was the lender of last resort, active participant in stabilizing economic fluctuations, and now the present main function is being the guardian of price stability. As it is still the monetary authority, much is expected from them. At one stage, fiscal policy was considered to be the main instrument of economic policy, the situation changed to an ascendancy of monetary policy and that was noted by the late 1980s in most parts of the industrialized world. This had a lot of implications for the role of the central bank."
Abstract This paper is a personal research project about online banking in the United Kingdom. It describes its history, how it works, security issues and its advantages and it introduces online banking facilities. It provides an appendix summarizing the services of each of the main British banks.
Table of Contents
What is online banking?
How online banking works
The security of online banking The advantages of online banking The disadvantages of online banking Prediction of the prospects of online banking.
From the Paper "The online banking will be a step to a new stage in the future. By that time, the banks will definitely offering more attractive services online and the competition of online banking will be complicated because more banks will have online banking services. Another progression is the development of wireless banking such as Digital TV and Mobile banking or so called WAP (Wireless Application Protocol). Nowadays, mobile phones are used everywhere, and many leading telecom companies and software companies have joined the WAP forum. Such as Nokia, Ericsson and Motorola."
Abstract The following paper begins with a basic review of how commercial banks make money. It then examines the definition of what constitutes a high performance in the banking world of finance. Finally, it assesses ways in which banks can achieve the maximum level high performance banking from a financial standpoint and examine the ways in which current public perceptions of banking and aspects of the new technology of Internet banking can affect the financial yield of banks.
From the Paper "Firstly, how do banks make money" A commercial bank (as opposed to, for instance, a credit union) has two basic functions: to accept deposits of money and to make loans. The main ways a commercial bank makes and creates funds is by making loans and by purchasing government bonds from the public sector. (McConnell and Brue 283-283) The goals of a commercial bank to remain "in business" must be twofold. One goal is that the bank must make a profit, the other goal is safety, which is traditionally defined to lie in liquidity?specifically, by the bank retaining such liquid assets as cash and excess reserves.?
Abstract This paper discusses central bank independence and the effects on the U.K. economy of Labour's decision to grant the Bank of England independence in 1997. It analyses inflationary and interest rate data from the years preceding and following Labour's election and cites evidence suggesting that it is inappropriate to ascribe all of the credit for recent low interest rates and inflation solely to the government's decision to make the bank independent.
Outline
Introduction
Birth of the Bank A Growing Remit
The Independent Bank The Rationales For and Against Independence
The Effects of Central Bank Independence on the British Economy
Conclusion
From the Paper "The Bank of England was established in 1694 as the UK was preparing to embark on a huge expansion in trade activity. A substantial financial source was necessary to provide the country, most especially London, with the liquidity necessary to drive the economy to this new frontier. The argument gained certain impetus after the Glorious Revolution when both William of Orange and Queen Mary simultaneously ascended the throne in 1688. Noted political economist of the time William Petty had observed the success of the Dutch in establishing a central bank in the form of the Amsterdam Wisselbank that had control over coinage, credit facilities and exchange."
Abstract A discussion about the controversies surrounding the IMF and World Bank. The debt trap, the (Structural Adjustment Plans) SAPs and the unequal distribution of the votes are the main criticisms among IMF and World Bank opponents. The paper shows that there is need for reforms and change, and it also explains that both institutions are necessary in today's globalized world as they did help and improve living standards in many cases. The writer points out, however, that both institutions, especially the World Bank have already started to reform its organization as a response to the protester's demands. This means that the World Bank realized that some arguments of the opponents actually do concern. It concludes to explain that the World Bank now is among the world's largest external funder of education, health (HIV/AIDS) and environment projects.
1. Introduction
1.1. The Rise of the IMF and World Bank 1.2. The International Monetary Fund
1.3. The World Bank 2. Why are the Activities of IMF and World Bank so Controversial?
2.1. Poverty
2.2. The Debt Trap
2.3. The Structural Adjustment Plans (Saps)
2.3.1. Austerity Programs
2.3.2. Privatisation
2.3.3. Environment
2.4. Voting Rights
2.5. The Human Rights Issue
3. Conclusion
4. Reference List
From the Paper "In July 1944 the so-called Bretton Woods Conference in New Hampshire, USA established the IMF together with the World Bank, originally called the International Bank for Reconstruction and Development (IBRD). These two organisations were the outcome of long negotiations between 44 nations during World War II in order to ensure post-war global economic growth and to eliminate the aggressive exchange rates politics of the 30s. "The task of the IMF would be to maintain order in the international monetary system and that of the World Bank would be to promote general economic growth" (Hill, 2003:340). Furthermore, with the establishment of both organisations the member states aspired for reforms of international economic relations and an expansion of world trade."
Tags: adjustment, bank, debt, economy, fund, global, globalisation, globalization, imf, international, monetary, plans, poverty, structural, trap, world
