Figure out the common approaches of Financial Services.
Fund Based Activities,
Fees Based Activities,
The approaches of financial service are considered as the essential part of the financing. Take a brief discussion about the approaches of financial services.
At the earlier stage from 1920 to 1950, an approach is strictly followed in the financial service which is now changed as traditional approaches. This method works depends on the past experience as well the
predefined rules and methods. The Traditional approaches of finance are further classified into two categories. Have a look about that approach.
Limitations of Traditional Approaches:
Only focuses on fund obtaining and failed to consider other important aspects,
This approach has the limitations of transforming funds only to others,
Not concentrated much more on the problems,
Internal decision making is not taken into an account
In order to overcome the limitations of Traditional approach a new approach is invented, which is latterly named as the modern approach of finance services. It has well-developed infrastructure when compared to traditional approaches.
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