History
Bankers' acceptances date back to the 12th century when they emerged as a means to finance uncertain trade, as banks bought bills of exchange at a discount. During the 18th and 19th centuries, there was an active market for sterling bankers' acceptances in London. When the United States Federal Reserve was formed in 1913, one of its purposes was to promote a domestic bankers' acceptance market to rival London's to boost US trade and enhance the competitive position of US banks. National banks were authorized to accept time drafts, and the Federal Reserve was authorized to purchase certain eligible bankers' acceptances, but today the US central bank no longer buys banker's acceptances (but instead buys mostly US government bonds from a Primary dealer).
Read more about this topic: Bankers' Acceptance
Famous quotes containing the word history:
“History ... is, indeed, little more than the register of the crimes, follies, and misfortunes of mankind.
But what experience and history teach is this—that peoples and governments have never learned anything from history, or acted on principles deduced from it.”
—Georg Wilhelm Friedrich Hegel (1770–1831)
“Don’t give your opinions about Art and the Purpose of Life. They are of little interest and, anyway, you can’t express them. Don’t analyse yourself. Give the relevant facts and let your readers make their own judgments. Stick to your story. It is not the most important subject in history but it is one about which you are uniquely qualified to speak.”
—Evelyn Waugh (1903–1966)
“What we call National-Socialism is the poisonous perversion of ideas which have a long history in German intellectual life.”
—Thomas Mann (1875–1955)