Answer:
a. They are established by an employer to facilitate and organize employee retirement funds. They are asset pools that invest in securities that have a potential to give stable returns. ⇒ PENSION FUNDS.
Pensions are retirement benefits paid to employees when they retire so employers set up funds called Pension funds where they pay in contributions that grow overtime so that they will pay off employees when they retire.
b. They underwrite, distribute, and design investment securities for corporations to help them raise capital. ⇒ INVESTMENT BANKS.
Investment banks play a very big role in the capital markets as they are the ones who help companies raise capital in Initial Public Offerings (IPOs). They help them underwrite, design and distribute the securities as they have an expertise in this.
c. They are asset pools that invest in securities that have a potential to give stable returns. ⇒ PENSION FUNDS
Pension funds grow by investing in securities that will bring in low risk, stable returns so that the retirement benefits of people are safe.
d. They collect a pool of funds from investors for the purpose of diversifying risk, earning interest or dividends, and/or generating profits from the investments' increased value. ⇒ MUTUAL FUNDS
Mutual funds pool money together from various investors and then invest in various companies and industries and returns made are then paid to the investors.
