4) Financial instruments/markets/institutions: match the definition provided wit
ID: 1156198 • Letter: 4
Question
4) Financial instruments/markets/institutions: match the definition provided with the proper term. (13pts) Shares student loans or credit card debt in the returns or payments arising from specific assets such as mortgages or Select One primary market insurance companies financial instrument A rule-based program for automatically executing hundreds or thousands of trades A market where a borrower obtains funds from a lender by selling newly-issued securities. secondary market Commercial banks, savings banks, and credit unions. a collection of assets They accept premiums which they invest in return for promising compensation shouldpension funds trading algorithm depository institutions money market asset-backed security equity market certain events occur portfolio derivative instrument indirect finance centralized exchange collateral securities firms A financial instrument whose payoff is determined by the behavior of the underlying instrument on which it is based. When a financial intermediary stands between the lender and the borrower. Include brokers, investment banks, underwriters, and mutual-fund companies A place where dealers gather in person to trade financial instruments like stocks Specific assets a borrower pledges to protect the lender's interest in case of nonpayment Select One some future date under certain conditions a market in which debt instruments with a maturity of less than,one year are traded Select One sone future dlate undercoertainoconaditions, Transfer soething of value to another party at Select one Select One Select OneExplanation / Answer
shares in the returns or payments arising from specific assets, such as home mortgages, student loans, credit card debit- asset-backed security
a collection of assets- portfolio
one in which a borrower obtains funds from a lender by selling newly issued securities- primary market
a financial instrument whose payoff is determined by the behaviour of the underlying instrument on which it is based- derivative instrument
specific assets that a borrower pledges to protect the lender's interests in the event of non-payment- collateral
debt instruments with a maturity of more than a year are traded here- bond market
when a financial intermediately stands between the lender and the borrower- indirect finance
a rule based program for automatically executing hundreds or thousands of trades- trading algorithm
commercial banks, saving banks and credit unions- money market
they accept premiums which they invest in return for promising compensation should certain events occur- insurance companies
Related Questions
drjack9650@gmail.com
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.