A non-bank financial institution (NBFI) is a financial institution that does not have a full banking license or is not supervised by a national or international banking regulatory agency. NBFIs facilitate bank-related financial services, such as investment, risk pooling, contractual savings, and market brokering. Examples of these include insurance firms, pawn shops, cashier's check issuers, check cashing locations, payday lending, currency exchanges, and microloan organizations. Alan Greenspan has identified the role of NBFIs in strengthening an economy, as they provide "multiple alternatives to transform an economy's savings into capital investment act as backup facilities should the primary form of intermediation fail."
Read more about Non-bank Financial Institution: Role in Financial System, In Asia, In The United States, See Also
Famous quotes containing the words financial and/or institution:
“The woman who does her job for society inside the four walls of her home must not be considered by her husband or anyone else an economic “dependent,” reaching out her hands in mendicant fashion for financial help.”
—Mary Barnett Gilson (1877–?)
“Every institution not only carries within it the seeds of its own dissolution, but prepares the way for its most hated rival.”
—W.R. (William Ralph)