Which of the following is a function of financial markets?

Facilitate price discovery

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Provide liquidity to financing assets

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Reduce the cost of transaction

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All of the above

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Solution

The correct option is D
All of the above

Facilitate price discovery, provide liquidity to financing assets and reduce the cost of transaction are all functions of financial markets.

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Similar questions

Briefly explain the following functions of financial markets :

(i) Information dissemination

(ii) Mobilises savings

(iii) Provides liquidity

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