article thumbnail

European Stability Mechanism

Wall Street Mojo

The European Stability Mechanism Board (ESM) operates as a financial backstop intergovernmental institution established in 2012 to combat the European sovereign debt crisis of 2009-2011 in euro member states. It has two types: PCCL for economically strong nations and Enhanced Conditions Credit Line (ECCL) for those not meeting PCCL criteria.

article thumbnail

Corporations: Examples, Structures, Pros, and Cons

Peak Frameworks

Corporations can raise funds by selling shares, as Facebook did in its 2012 IPO. The Role of Corporations in the Economy Corporations drive job creation, economic growth, and innovation. Shares can be easily sold or transferred, as regularly happens on the New York Stock Exchange. Capacity to Raise Capital.

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Shareholders vs. Stakeholders - Understanding Corporate Responsibilities

Peak Frameworks

For example, in the 2012 Facebook IPO, common shareholders gained exposure to the tech giant's fortunes, while also securing a say in corporate matters. Proponents argue that by fulfilling this responsibility, firms indirectly benefit society by driving economic growth and innovation.

article thumbnail

What is the Money Market? Here’s Everything You Need to Know

Peak Frameworks

Importance of the Money Market Money markets provide a stable environment for economic entities to manage their short-term funding requirements. For instance, in 2012, Amazon issued commercial paper to finance its short-term liquidity needs.

Funds 52
article thumbnail

The Moneyball Strategy: Making Big Moves With Little Leverage

Street of Walls

News sources dubbed the 2012 election “the Moneyball election.” Peter Brand (Jonah Hill), a young Yale economics major, provides the solution: Fill the roster with players who get on base, and never mind if they have an ugly girlfriend or less-than-perfect training background.

Finance 40
article thumbnail

How do Banks Make Money? Explanation, Examples

Peak Frameworks

When Facebook went public in 2012, it needed an investment bank to handle the Initial Public Offering (IPO). Capital Buffer: Regulatory bodies require banks to maintain a certain level of capital to ensure they can weather economic downturns. This means banks can't use all their deposits for lending; they have to keep some in reserve.

Bank 52
article thumbnail

What is the Accounting Equation? Explaining Assets = Liabilities + Equity

Peak Frameworks

Components of the Accounting Equation Assets are resources owned by a company that has economic value and can be converted into cash or provide future benefits. For instance, Facebook's initial public offering in 2012 raised $16 billion in contributed capital. For example, Apple Inc. reported total assets of $338.16