30th, November, 2013
Financial Innovation has changed the world after their birth during early 1990’s with innovative instruments like swaps, zero coupon bonds, portfolio insurance and synthetic cash etc were the first innovative products to initiate the innovative activity. Economists cites many reasons and events that led to beginning of financial innovation.
The first ever innovation is said to begin during 1970 with advent of collapse of Breton Woods(Fixed Exchange Rate) under which the US Government abondoned the tie of gold with dollar. As a result, wide fluctuations in international transactions were witnessed and this gave birth to exchange traded