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3. Corporate finance, capital markets, and investments Finance professionals make decisions that fall into three distinctive areas: corporate finance, capital markets, and investments. Below is

3. Corporate finance, capital markets, and investments

Finance professionals make decisions that fall into three distinctive areas: corporate finance, capital markets, and investments. Below is a set of decisions made by finance professionals. Categorize the decisions according to the area of finance to which they belong.

Decision

Corporate Finance

Capital Markets

Investments

Andrew, the chief executive officer (CEO) of ABC Corp., must make decisions that help achieve the primary goal of the corporation: maximize shareholders wealth.

Rafael, a trader at the New York Stock Exchange (NYSE), executes the decisions made by investors and takes action based on requests by different buyers and sellers in the market.

Caesar works for a financial advising firm. He must create a financial plan and come up with a list of securities in which his client can invest. Caesar must make decisions regarding the investments that he should recommend to his clients to include in their portfolio.

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