Financial Intermediaries Spread Their Risk by Providing Funds to a Large

question 60

Multiple Choice

Financial intermediaries spread their risk by providing funds to a large number and variety of borrowers by offering many different types of loans. Due to this, the loan portfolios of intermediaries are said to be _____. 

• A)well diversified
• B)well consolidated
• C)economically efficient
• D)partially underwritten
• E)partially shelf registered

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Definitions:

Foreign Entities

Organizations or business units that operate outside the country of one's residence or the headquarters of a business.

Career Management

The process where individuals or their employers plan and implement activities and goals for their professional development and career progression.

Displaced Workers

Individuals who have lost their jobs due to economic changes, technological advancements, or restructuring within companies, leading to involuntary unemployment.

Inplacement

The process of strategically positioning employees within an organization to optimize their skills and the company's needs, unlike external hiring.