In the following table, indicate which financial institution each description best represents and whether it is a depository or nondepository financial institution.

Description

Financial Institution

Institution Type

They share the financial risk with their policyholders and reduce the financial burden associated with loss, damages, and other hardships. Policyholders make regular payments to these financial intermediaries for taking this risk.

They collect a pool of funds from surplus units to purchase a portfolio of securities$.$ They allow small savers, with limited funds, to invest in a widely diversified portfolio of securities$.$

They accept deposits from surplus units and make loans to and purchase debt securities from deficit units. They utilize the federal funds market to loan funds to other financial institutions and are regulated by the Federal Reserve. They are known for concentrating on business loans.

They are nonprofit financial institutions owned by their members so that they can share funds among themselves. The members have a common bond, such as an employer, and act as the surplus units for the institution. Funds deposited by surplus units are then loaned to deficit unit members who need the funds.