Westonci.ca is the premier destination for reliable answers to your questions, provided by a community of experts. Explore our Q&A platform to find in-depth answers from a wide range of experts in different fields. Experience the ease of finding precise answers to your questions from a knowledgeable community of experts.

What is the relationship between securitization and the role of financial intermediaries in the economy? what happens to financial intermediaries as securitization progresses?

Sagot :

The relationship between securitization and financial intermediaries is that they are directly related. When securitization progresses the financial services provided by financial intermediaries should also increase.

An intermediary is a person that helps to link the saver and the borrower of the market. These help to increase the financial transactions that take place, especially in the case of a commercial bank. Securitization is the process by which the assets are grouped and sold together as one in the form of security.

Securitization breaks or reduces the financial intermediary role as it provides people to participate in the market. So when the securitization rate increases, the financial intermediaries, are also required to provide the services that will help in faster liquidity of assets to several customers. As securitization progresses the financial services should also be increased simultaneously by the financial intermediaries.

Learn more about securitization here:

https://brainly.com/question/13471520

#SPJ4

Thank you for choosing our service. We're dedicated to providing the best answers for all your questions. Visit us again. Thanks for using our platform. We aim to provide accurate and up-to-date answers to all your queries. Come back soon. Keep exploring Westonci.ca for more insightful answers to your questions. We're here to help.