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Financial Institutions

 Investment Banks
Investment banking is a subset of banking that assists individuals and
organizations in raising cash and providing financial advice. One of the most
complicated financial systems in the world is that of investment banking. They
serve a wide range of functions and corporate organizations.
 Assist public and private corporations with the issuance of securities in the
primary and secondary markets. They provide firms with "merger and
acquisition" counsel on both the sell-side and the buy-side, as well as
assistance with corporate restructuring.
 Commercial Banks
Commercial bank is a financial organization that makes loans, accepts deposits,
and provides basic financial products to companies such as savings accounts and
certificates of deposit, as opposed to a retail bank, which makes comparable
financial products available to people. A commercial bank generates money
largely by making various sorts of loans to clients and collecting interest on those
loans.
 A commercial bank's basic functions are to take deposits and to lend
money. Deposits include savings, current, and time deposits. A commercial
bank lends money to its customers in a variety of ways, including loans and
advances, cash credit, overdrafts, and bill discounting
 Financial Service Corporation
Financial service corporation is a company that provides a variety of financial
services, such as investment banking, brokerage operations, insurance, and
commercial banking.
 The major role of finance firms is to issue loans to private citizens; unlike
banks, they do not take deposits. Financial institutions borrow money at a
low interest rate from the Federal Reserve System and commercial banks,
then lend it at a higher interest rate.
 Credit Unions
Credit union is a financial institution where members, rather than stockholders,
own and govern it. Credit unions are often not-for-profit, earnings are frequently
divided among members.
 The major role of a credit union is to provide loans to its members. In
reality, credit unions have historically offered loans to borrowers with
modest incomes.
 Pension Funds
Pension fund is a collection of money put aside by both employers and workers
with the purpose of providing retirement income to those who participate.
Pension funds are typically tax-deferred and are only recognized as income by
plan beneficiaries after they reach retirement age.
 One of the major goals of a pension fund is to make sure that when
employees retire, there will be enough money to support their pensions for
the future.
 Life Insurance Companies
Life insurance is a contract between you and an insurance provider. In exchange
for your premium payments, the insurance company will pay a lump amount
known as a death benefit to your beneficiaries following your death.
 The primary function of life insurance is to provide protection and an
immediate estate to fulfill survivor requirements. Although some plans
provide a savings component, there are several alternative methods to save
money and invest.
 Mutual Funds
Mutual funds combine the money of numerous investors and invests it in various
assets, such as common stocks, preferred stocks, and short-term debt. The
portfolio refers to the fund's total holdings. Investing in mutual funds involves
purchasing shares of the funds. Each share reflects a shareholder's interest in the
fund, as well as the income it provides.
 The primary function of mutual funds is to hold investments in trust and to
spread risk in investments via effective portfolio management with the goal
of maximizing returns.
 Unit Investment Trust Funds
Unit Investment Trust Fund, or UITF, is a type of collective investing plan in which
money from many participants is pooled into one fund to pursue a specified
investment goal. UITFs are managed by a professional investment team with the
goal of maximizing returns while maintaining appropriate risk levels.
 Hedge Funds
Hedge funds are private investment partnerships and money pools that employ a
variety of proprietary techniques and invest in or trade complicated goods such as
listed and unlisted derivatives.
 The goal of a hedge fund is to maximize investor profits while minimizing
risk. If this structure and objectives seem a lot like mutual fund objectives,
that's because they are, but the parallels end there. Hedge funds are
typically thought to be more risky, aggressive, and exclusive than mutual
funds.
 Private Equity Companies
Private equity company is a corporation that is owned privately rather than
through shares. A private-equity business is an investment management
organization that provides financial support and invests in the private equity of
startup or running firms using a range of loosely connected investment
techniques such as leveraged buyout, venture capital, and growth capital.
 The primary function of private equity company is to create a profit for its
investors.