Exercise 15. Match the following economic terms with their definitions.

Exercise 15. Match the following economic terms with their definitions.

N. B! A financial institution is an institution that provides financial services for its clients or members. The most important financial service provided by financial institutions is acting as financial intermediaries (financial institution that connects surplus and deficit agents).

Term	Definition
1. A bank	a. any plan, fund, or scheme which provides retirement income.
2. A building society	b. an individual or a firm that arranges transactions between a buyer and a seller, and gets a commission when the deal is executed; also acts as a seller or as a buyer becomes a principal party to the deal.
3. A credit union	c. a company that offers insurance policies to the public; usually comprised of multiple insurance agents. It can specialize in one type of insurance, such as life insurance, health insurance, or auto insurance, or offer multiple types of insurance.
4. A trust company	d. a firm that invests the pooled funds of retail investors for a fee. By aggregating the funds of a large number of small investors into a specific investments, it gives individual investors access to a wider range of securities than the investors themselves would have been able to access.
5. A mortgage loan company	e. an investment bank that acts as an intermediary between the issuing company and the investors who purchase the company's debt instruments and/or stock at the Initial Public Offering (IPO); buys the newly issued securities from the company and sells them to investors on the secondary market through a stock exchange.
6. An insurance company	f. a member-owned financial cooperative, democratically controlled by its members, and operated for the purpose of promoting thrift, providing credit at competitive rates, and providing other financial services to its members.
7. A pension fund	g. a financial institution and a financial intermediary that accepts deposits and channels those deposits into lending activities, either directly or through capital markets.
8. A broker	h. a financial institution owned by its members as a mutual organization; offers banking and related financial services, especially mortgage lending.
9. An underwriter	i. a company engaged in the business of originating and/or funding mortgages for residential or commercial property; usually just the originator of a mortgage; it markets itself to potential borrowers and seek funding from one of several client financial institutions that provide the capital for the mortgage itself.
10. An investment fund	j. a corporation, especially a commercial bank, organized to perform the fiduciary of trusts and agencies. It is normally owned by one of three types of structures: an independent partnership, a bank, or a law firm, each of which specializes in being a trustee of various kinds of trusts and in managing estates.

Word list

a fee - плата

thrift – ощадливість, економність, зберігання

pooled funds - об’єднані кошти

fiduciary - траст-агент, опікун, піклувальник

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