Fill in the blanks in the following passage by choosing the most appropriate term from the following list: CFO, save, financial intermediaries, stock market, savings, real investment, bonds, commodity markets, mutual funds, shares, liquid, ETFs, banks. Each term should be used once only.
Financial markets and channel _______to _______. They also channel money from individuals who want to _______for the future to those who need cash to spend today. A third function of financial markets is to allow individuals and businesses to adjust their risk. For example, _____, such as the Vanguard Index fund, and ______, such as SPDRs or "spiders," allow individuals to spread their risk across a large number of stocks. Financial markets provide other mechanisms for sharing risks. For example, a wheat farmer and a baker may use the _______ to reduce their exposure to wheat prices. Financial markets and intermediaries allow investors to turn an investment into cash when needed. For example, the _______ of public companies are_______ because they are traded in huge volumes on the _______. _______ are the main providers of payment services by offering checking accounts and electronic transfers. Finally, financial markets provide information. For example, the _______of a company that is contemplating an issue of debt can look at the yields on existing _______to gauge how much interest the company will need to pay.