FIN$370-1014/$ Which of the following statements is CORRECT?

Mutual funds usually invest their money in a well$-$diversified portfolio of liquid common stocks.

Money markets are markets for long$-$term debt and common stocks.

A liquid security is a security whose value is derived from the price of some other "underlying" asset.

While the distinctions are becoming blurred, investment banks generally specialize in lending money, whereas commercial banks generally help companies raise capital from other parties.