Answer:
A commercial bank is one which takes deposits to customers and loans them out to other customers, and makes a profit by charging a higher interest rate then it pays. Whereas in Investment bank is a bank which provides services to other companies for their IPOS, Asset management, helps create SPVs, helps in mergers and acquisitions etc.
Major Financial institutions
Central Banks: Setting Monetary Policy
Commercial Money: Taking Deposits and Lending that money
Investment Banks: Handling mergers and acquisitions
Mutual funds and ETFs are very similar in the nature that various investors are allowed to invest in them and it is very safe and passive type of investing, low risk and low return but the major difference is that ETFs follow a particular index for eg S and P 500 etc
Hedge funds on the other hand only allow high net worth individuals to invest and have limits on how early you can withdraw your money, they use very complex, active and high risk, reward strategies.
Explanation:
