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Financial Markets and Institutions Exam 2025 Questions and Answers What factors are encouraging financial institutions to offer overlapping financial services such as banking, investment banking, brokerage, etc.? - ....ANSWER ...- Regulatory changes allowing institutions to offer more services Technological improvements reducing the cost of providing financial services Increasing competition from full-service global financial institutions IBM creates and sells additional stock to the investment banker Morgan Stanley. Morgan Stanley then resells the issue to the U.S. public. This transaction is an example of a(n) - ....ANSWER ...-primary market transaction. A corporation seeking to sell new equity securities to the public for the first time in order to raise cash for capital investment would most likely - ....ANSWER ...-conduct an IPO with the assistance of an investment banker. The largest capital market security outstanding in 2010 measured by market value was ....ANSWER ...-corporate stocks. Depository institutions include - ....ANSWER ...-banks and thrifts. …FOR STUDENTS ONLY…©️2025 ALL RIGHTS RESERVED… 1