Question : Which function of financial market is highlighted in the given statement?
Statement: Many financial instruments are made available for transfering finance from one side to the other side.
Option 1: Mobilization of savings and channelising them into most productive use
Option 2: Facilitates price discovery
Option 3: Provides liquidity to financial assets
Option 4: Reduce the cost of transactions
Correct Answer: Mobilization of savings and channelising them into most productive use
Solution : Financial market gives institutes to the savings of the people this market takes the uselessly lying finance in the form of cash to place where it is really needed. Mani financial market instruments are made available for transfering finance from one side to the other the investors can investing any of this instruments according to their wish.
Hence, option A is correct.
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