Bonds.
Guaranteeing savers high rates of return.
<h3>What is the purpose of the financial system?</h3>
- A financial system performs the role of an intermediary and makes it easier for money to move from areas of surplus to areas of deficit. It comprises various institutions, markets, rules and laws, customs, investors, analysts, transactions, and claims and liabilities.
- Managers can use big data in their businesses by using a financial system. A financial system combines data from numerous organizational departments into a single perspective, making it simple for users to comprehend the connections between distinct data types.
- Financial services guarantee the advancement of both domestic and international trade. Increased domestic and international exports of goods are guaranteed by the presence of factoring and forfeiting businesses. Banking and insurance services also facilitate an increase in these promotional activities.
The following are financial securities that represent promises to repay a fixed amount of funds: Bonds.
- Bonds provide a fixed amount of maturity value.
The following is not a service that the financial system provides for savers and borrowers: Guaranteeing savers high rates of return.
- The financial market can't guarantee any particular rate of return to savers.
To learn more about the financial system, refer to:
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