Lesson 2 100%
ACCURATE
Financial services industry - ANSWER An industry in which financial institutions help people, businesses,
and governments with their asset accumulation, asset management, and asset protection needs
Financial institutions - ANSWER A business that owns primarily financial assets, such as stock and bonds,
rather than fixed assets, such as equipment and raw materials
Depository institution - ANSWER A financial institution that specializes in accepting deposits and making
loans
Securities firm - ANSWER A financial institution that issues securities and engages primarily in investing
and trading securities
Mutual fund companies - ANSWER A financial institution that pools money from many, often thousands,
of investors to build diversified portfolios of investment securities.
Finance companies - ANSWER A financial institution that specializes in making short- and medium-term
loans to businesses and people
Insurance company - ANSWER A company that accepts risk and makes a promise to pay a policy benefit
if the covered loss does occur