Final answer:
To match financial services with the appropriate financial institutions: Banks and Credit Unions offer mortgages, day-to-day transactions, and loans; Investment Firms and Brokerages are for investments; Wealth Management Companies manage assets; Lending Institutions also provide loans. Additionally, banks act as financial intermediaries.
Step-by-step explanation:
Financial Institutions and Services
Financial institutions provide a range of services and have varying functions that influence both individuals and businesses. When considering where to seek financial services, it's important to choose the appropriate type of institution based on your needs:
- Banks and Credit Unions are both depository institutions where you can take out a mortgage, manage day-to-day money transactions like checking and savings accounts, and borrow money. Credit Unions are member-owned and typically offer more favorable rates.
- Investment Firms and Brokerages specialize in investments, helping customers to buy stocks, bonds, and other types of investments, catering to investors seeking various levels of risk and return.
- Wealth Management Companies focus on managing assets for high-net-worth individuals, providing a personalized service that includes estate planning, retirement planning, and investment management.
- Lending Institutions offer loans outside of traditional bank loans, like peer-to-peer lending and online personal loans for borrowers.
Banks, including savings institutions or thrifts, also play a role as financial intermediaries in the financial capital market, offering secure locations to save money with various accounts protected by the FDIC.