1.The Insightful Management Company sells financial advice to investors. This is the only service provided by the company. Is this company a financial intermediary? Explain your answer. 

2. Explain how a financial intermediary reduces the cost of contracting and information processing?

3.A bank issues an obligation to depositors in which it agrees to pay 3% guaranteed for one year. With the funds it obtains, the bank can invest in a wide range of financial assets?What is the risk if the bank uses the funds to invest in common stock? 

4.Should the Philippine government implement the creation of sovereign wealth fund (Maharlika Wealth Fund) using funds from GSIS, SSS, and BSP? Why or why not? Explain your answer?

Answer rating: 100% (QA)

The detailed answer for the above question is provided below 1Yes the Insightful Management Company is a financial intermediary This is because they p... View the full answer