Transcription of Part 3. Financial Institutions
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Part 3. Financial Institutions
Notes: FIN 303 Fall 15, part 3 Financial Institutions Professor James P. Dow, Jr. 22 part 3. Financial Institutions This section will introduce you to the major kinds of Financial Institutions . What is a Financial Intermediary? Many Financial Institutions play the role of a Financial intermediary. That is, they help connect borrowers and lenders of funds. We can think of the activities of a Financial intermediary in terms of its balance sheet. Assets Liabilities Obtain funds from investors Provide funds to borrowers Balance Sheet of Financial Intermediary (flow of funds) (flow of funds) Banks and Other Lending Institutions Banks are Financial intermediaries that accept deposits and make loans.
Notes: FIN 303 Fall 15, Part 3 – Financial Institutions Professor James P. Dow, Jr. 22 Part 3. Financial Institutions This section will introduce you to the major kinds of financial institutions.
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