Karteikarten: Financial Institutions and Market Dynamics — 9 Karten

Financial institutions — role?

Intermediaries connecting savers and borrowers.

Intermediation — definition?

Channeling funds from savers to borrowers.

Types of financial institutions — examples?

Commercial banks, investment banks, insurance companies, investment funds, pension funds.

Facilitating Payments — role?

Enabling transactions for goods and services.

Risk Management — purpose?

Mitigating credit, interest, liquidity risks.

Financial Innovation — example?

Creating new financial products and services.

Asset Transformation — meaning?

Converting short-term liabilities into long-term assets.

Commercial Banks — services?

Accept deposits, give loans, provide payment services.

Investment Banks — focus?

Capital raising, securities underwriting, M&A advisory.