Question

Which of the following is not one of the three advantages of dealing with a financial intermediary?. A financial intermediary provides liquidity. . A financial intermediary shares risks. . A financial intermediary provides information. . A financial intermediary creates financial assets .

Answer 1

A financial intermediary creates financial assets.

Answer 2

A financial intermediary is an institution which serves for financial transactions. The functions of a financial intermediary are the providing of line of credit, elimination of risks of investments and to denominate convenience to deposits and loans. The answer to this problem is B.