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B2. A bank named Bank sohar allows Khalid family to deposit their money for the period of 5 years as a fixed deposit. These types
B2. A bank named Bank sohar allows Khalid family to deposit their money for the period of 5 years as a fixed deposit. These types of fixed deposit will give good return to his family in the form of fixed deposit interest rate. To deposit their money Khalid and his family visited the bank sohar branch this is located nearest to their home. One of his family friends his name is Radwan working as a stock broker he suggested them investing the same money in the stock market will give very huge returns after 5 years but risk also there. This is the scenario.
Answer below questions:
a) In the above case, Identify, what was the process performed by the bank and by the stock exchange?
b) Examine the role of stock exchange and the role of bank in the above case?
c) If you are the financial advisor to this family which type of investment you will recommend to Khalid and his family? Justify your answers with proper reasons?
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