Vidyalelo
Management · Q185

International Finance and Treasury

Graduate and Post Graduate · Management · question 185

Q185

Financial intermediaries offering savings plans to individuals and funds are exempted from taxation are considered as

A.
trading funds
B.
penalty funds
C.
pension funds
Answer
D.
global funds

Answer: Option C

Solution

Answer: Option C
Solution:
Financial intermediaries offering savings plans to individuals and funds are exempted from taxation are considered as pension funds. Pension funds are investment pools that pay for employee retirement commitments. Funds are paid for by either employees, employers, or both. Corporations and all levels of government provide pensions. The fund managers invest these contributions conservatively.