contestada

Several market participants interact in developed markets to organize the exchange of funds from buyers to sellers. Such institutions as investment banks, commercial banks, financial services corporations, credit unions, pension funds, life insurance companies, mutual funds, exchange traded funds, hedge funds, and private equity companies play a key role in facilitating these transfers. Identify the financial institution based on each description given in the following table: Description Financial Institution They underwrite, distribute, and design investment securities for corporations to help them raise capital. They are established by an employer to facilitate and organize employee retirement funds. They are asset pools that invest in securities that have a potential to give stable returns. They collect a pool of funds from investors for the purpose of diversifying risk, earning interest or dividends, and/or generating profits from the investments' increased value.

Respuesta :

Answer: 1. Investment Bank

2. Pension Fund

3. Mutual Funds

Explanation:

1. They underwrite, distribute, and design investment securities for corporations to help them raise capital.

Investment Banks are very useful to companies in the Capital Markets in that they provide facilitation services to companies that want to raise capital there be it by raising stock or by raising bonds.

2. They are established by an employer to facilitate and organize employee retirement funds. They are asset pools that invest in securities that have a potential to give stable returns.

Pension Funds

These are funds set up by some private and all Government institutions with the aim of investing so as to make enough income to pay employees when they retire. They aim to invest in securities that give stable market returns.

3. They collect a pool of funds from investors for the purpose of diversifying risk, earning interest or dividends, and/or generating profits from the investments' increased value.

Mutual funds

Mutual Funds are a financial vehicle that collect investments from multiple individuals or corporations and invest in bulk. This enables investors to diversify risks as well as earn an income. The Mutual Fund invests in its own name and when the income comes in, it distributes it to the fund holders.

ACCESS MORE