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    ​Identify the economic infrastructure that supports financial activities such as stock trading, a variety of investments and deposits, funding initiat
    Question

    Identify the economic infrastructure that supports financial activities such as stock trading, a variety of investments and deposits, funding initiatives, and loan remittances, both in India and globally.

    A.

    Brokerage firms


    B.

    Insurance sectors


    C.

    Banking Institutions

    D.

    Asset Management Companies (AMC)

    Correct option is C

    The correct answer is option (C) Banking Institutions

    • Banking institutions play a key role in supporting financial activities such as stock trading, investments, deposits, funding initiatives, and loan remittances.
    • They facilitate the movement of funds, provide financial services like savings accounts and loans, and offer investment opportunities.
    • Banks also provide infrastructure for stock trading by partnering with stock exchanges, providing trading accounts, and facilitating remittance of funds.

    Information Booster :-

    • Brokerage firms - While brokerage firms are essential for stock trading and investment activities, they do not cover the broader spectrum of financial infrastructure, such as funding initiatives or loan remittances.
    • Insurance sectors - Insurance companies primarily deal with risk management and provide financial protection products, rather than the full spectrum of financial services like those provided by banks.
    • Asset Management Companies (AMC) - AMCs manage investments like mutual funds and portfolios but do not offer the full range of financial services such as banking, lending, or deposits.

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