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Financial intermediaries at the center of the financial system perform the function of reallocating the surplus resources of household units to other economic units with funding needs. Savers wants to lend on short term and borrowers want to borrow on long term. Financial intermediaries have emerged from the traditional banking to more sophisticated intermediaries such as investment banks, pension funds, venture capital funds, mutual funds and hedge funds due the market imperfection and information asymmetry. This paper discusses the emerging role of financial intermediaries in the financial market in Ghana.

The Emerging Role of Financial Intermediaries in the Financial Market of Ghana