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Financial Intermediaries

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After submitting your report, one of the new brokers asks the three questions below and requests a written response:

1) What are the economic functions financial intermediaries perform?

2) What is the role of broker in the financial market?

3) How has that role changed since the inception of on-line investing?

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What are the economic functions financial intermediaries perform?

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what are the economic functions that financial intermediaries perform?

The primary economic function of the financial intermediaries is that they bring people having surplus money to those who are in need of funds. In other words, these financial intermediaries helps to channelize the surplus funds of investors to those who have shortage for it and thus, helps in development of the economy by creating a smooth channel for flow of funds and providing a platform for buyers and ...

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  • BCom, SGTB Khalsa College, University of Delhi
  • MBA, Rochester Institute of Technology
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