1. Explain what corporation seeking to sell new equity securities to the public for the first time most likely do.
2. explain how secondary securities markets help support primary markets.
3. explain how Financial intermediaries can offer savers a safer, more liquid investment than a capital market security, even though the intermediary invests in risky illiquid instruments.
1. Explain what systemic risk is and why large financial institutions are especially important for the financial sector. Discuss the advantages and disadvantages of being a large financial institution in the current regulatory environment.