Types of Financial Intermediaries
12 Questions
0 Views

Types of Financial Intermediaries

Created by
@BeneficentCesium

Podcast Beta

Play an AI-generated podcast conversation about this lesson

Questions and Answers

Which financial intermediary is primarily involved in advancing loans to clients at high-interest rates?

  • Credit Unions
  • Stock Exchanges
  • Non-Banking Finance Companies (correct)
  • Banks
  • What is the primary function of Mutual Fund Companies?

  • Trading securities and stocks
  • Facilitating lending and borrowing of funds
  • Collecting amounts from various investors for investment (correct)
  • Acting as cooperative financial units
  • Which financial intermediary charges brokerage fees for every trading activity?

  • Stock Exchanges (correct)
  • Credit Unions
  • Banks
  • Non-Banking Finance Companies
  • What distinguishes Credit Unions from Banks and Non-Banking Finance Companies?

    <p>Facilitating lending and borrowing of funds to members only</p> Signup and view all the answers

    Which financial intermediary is known for simplifying the lending and borrowing process on a large scale?

    <p>Banks</p> Signup and view all the answers

    What is the primary focus of Non-Banking Finance Companies?

    <p>Advancing loans to clients at a very high rate of interest</p> Signup and view all the answers

    What kind of deposits do insurance companies accept from individuals and business entities?

    <p>Premiums</p> Signup and view all the answers

    Which financial intermediaries are responsible for facilitating mortgage loans and demand deposits to its members?

    <p>Building Societies</p> Signup and view all the answers

    What do investment bankers specialize in providing services related to?

    <p>Initial public offerings (IPO)</p> Signup and view all the answers

    What do escrow companies act as when providing a loan between two parties for real estate mortgages?

    <p>Mediator</p> Signup and view all the answers

    In which investment scheme do investors pool their funds together with common investment objectives?

    <p>Collective Investment Schemes</p> Signup and view all the answers

    What do financial advisers provide to investors, besides collecting funds and investing in securities?

    <p>Guidance and Expert Opinions</p> Signup and view all the answers

    More Like This

    Types of Financial Intermediaries
    10 questions
    Financial Intermediaries Overview
    37 questions

    Financial Intermediaries Overview

    SkillfulPersonification avatar
    SkillfulPersonification
    Use Quizgecko on...
    Browser
    Browser