All of the following are reasons for financial innovation except:
A)to insure the health and safety of the financial system.
B)to meet and beat increasing competition within the financial services industry.
C)to avoid binding regulations.
D)to deal with price and interest rate volatility.

Question

Quizplus · Accepted Answer

Financial innovation primarily aims to enhance profitability, efficiency, and competitiveness in the financial sector. While ensuring the safety and stability of the financial system is a significant goal, it is not a driver of financial innovation. Instead, measures such as legislative and regulatory changes are used to achieve that objective.

All of the Following Are Reasons for Financial Innovation Except