About This Chapter
Banks & Other Financial Intermediaries - Chapter Summary
This comprehensive finance chapter explores the different types of banks and financial intermediaries. Work through the chapter at your own pace to examine commercial banks, pension plans, mutual funds, brokerage firms, U.S. banking system institutions and more. These fun and informative lessons come with multiple-choice quizzes to help you reinforce the financial terms and concepts you study. The chapter is also available 24/7, which enables you to study whenever you have free time. By the end of the chapter, you should be able to:
- Define and describe types of financial institutions, financial intermediaries, brokerage firms, mutual funds and life insurance companies
- Understand the purpose and functions of central and commercial banks
- Recognize U.S. banking system institutions
- Explain the roles of investment bankers and securities markets
- Describe the characteristics of pension and retirement plans
1. Types of Financial Institutions: Definition, Examples & Roles
In this lesson, we'll explore three types of financial institutions and their roles in financial intermediation. By the end of the lesson, you should also be able to provide an example or two of each type of institution, some of which you may have already used in real life.
2. Financial Intermediaries: Definition, Types, Role & Advantages
In this lesson, you'll understand the process of financial intermediation. We'll also discuss the players in the process, the types of financial intermediaries as well as the advantages of financial intermediation.
3. Central Bank: Definition & Purpose
Learn who controls all of the money in the United States. Find out what the main functions of a central bank are and how it impacts your ability to get a job, the interest you pay on your car loan, and more.
4. Institutions of the U.S. Banking System
The United States banking system is diverse and consists of many different types of institutions. In this lesson, you'll learn about commercial banks, savings and loan associations, credit unions, and investment banks.
5. What Are Commercial Banks? - Definition, Roles & Functions
You may not realize it, but there are different types of banks and not all banks are authorized to do the same things. In this lesson, you'll learn about commercial banks, including their role and function in an economy. A short quiz follows.
6. Securities Markets and Investment Bankers
Securities markets and investment banks provide opportunities for companies to obtain capital and people to make investments to increase their wealth. In this lesson, you'll learn about securities markets and the players involved.
7. What is a Brokerage Firm? - Definition & Types
In this lesson, you'll learn about several different types of brokerage firms. You'll also learn about the different types of services each type of brokerage firm provides. Some even offer smartphone access!
8. What is a Mutual Fund? - Definition, Types, Advantages & Examples
This lesson will define a mutual fund, a type of investment vehicle. Also in this lesson, various types of mutual funds will be explained, and advantages and examples of mutual funds will be explored.
9. Understanding Retirement and Pension Plans
Businesses use many different types of retirement plans for their employees. Two of the most common are pension plans and 401(k) plans. This lesson discusses these two kinds of retirement plans.
10. Life Insurance Companies: Definition & Types
When it comes to selecting a life insurance policy, you have two types of companies to choose from. Learn what these two types are and what makes them different.
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Other chapters within the TECEP Financial Institutions & Markets: Practice & Test Prep course
- Financial Markets & Financial Instruments
- Interest Rates Overview
- Financial Market Analysis & Trading
- The Flow of Funds in Financial Intermediaries
- Regulation of Financial Institutions
- Introduction to International Finance
- Introduction to the Mortgage Market
- Futures & Options
- Branch Banking & Deposit Insurance
- Money & Interest-Rate Relationships
- Inflation & Income Policies
- TECEP Financial Institutions & Markets Flashcards