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Management · Q226

Financial Management

Graduate and Post Graduate · Management · question 226

Q226

Financial intermediaries exist because small investors cannot efficiently ________.

A.
diversify their portfolios
B.
gather all relevant information
C.
assess credit risk of borrowers
D.
advertise for needed investments
E.
all of above
Answer

Answer: Option E

Solution

Answer: Option E
Solution:
Financial intermediaries exist because small investors cannot efficiently diversify their portfolios, gather all relevant information, assess credit risk of borrowers and advertise for needed investments.