Complex Transactions
Complex transactions on the market are held between agents of the lenders and agents of the borrowers (rarely – lenders and borrowers held themselves the whole process of activity). The best example of the complex transactions through the financial market is the whole mechanism of the stock exchange. This is the place where profit can be made with the help of selling shares to investors or buying shares from other participants of the market.
Complex transactions are held by common members if they put money in the form of the saving-account for the bank; participate in a pension-program; pay premium to their insurance firm; invests in government stock-bonds; invest in the share of a single company.
Companies usually participate as the capital's borrowers. When companies obtain cash-surplus which is not necessary for the current period of time, they can have a profit from lending this surplus with the help of short-term market-contracts in the money-markets.
If company is one of those ones which have huge cash-flows, it will play on the market as a lender rather than a borrower. Such companies can also make decisions about returning cash to the lenders (e.g. with the help of share's reverse buying). As other variant, they can seek for making much more money with the help of investment into bonds or stocks on the market.