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Finance is a broad term encompassing many things about the financial management, the creation, allocation, and preservation of monetary funds and assets. It includes the management of monetary assets in view of the prevention of loss or damage, including capital asset management and liquidity risk. In modern usage, finance is often used to refer to the entire field of human affairs and also to the practical application of banking principles and practices. It also encompasses a wide range of activities such

There are many components of finance that affect the supply, use, and development of funds. These include financial accounting, management information systems, micro and macro economic theory, financial management , and the administrative science of managing funds. While the history of finance is long and complicated, it can be divided into four main stages: pre-finance, financing, conduct of borrowing and investing, and post-finance. With each stage described in turn, the process of financing develops.

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