What are the different ways in which a financial intermediar
What are the different ways in which a financial intermediary is regulated?
Solution
Solution-
Financial Intermediary means any person who is \'arbitrator\' for various parties during any financial transaction.Financial intermediary Process means the process to be used by taking money from depositors lends to the bank and then to the borrower.
There are many ways in which financial intermediary is regulated some are as follows:
Mutual funds : Mutual Funds means the investment companies who accept money from savers and then use these funds to buy various investment instruments.
Whole life insurance companies offer two services: As a result of the premature death of \"bread winner\" which protects the beneficiaries against the financial crisis.Savings that are earned because the initial premium in life is more than the amount required to cover the insured.
Pension funds : Pension funds means funded retirement schemes for corporates or government employees by their employees.
Financial intermediaries earned profit from purchasing financial claims from DSU\'u at a lower interest rate than the sales interest rate price, and whenever the income generated by the financial claim, all their borrowing and production costs, such manufacturing costs, its overhead expenditure and The default risk is included.
