Sub-sector: Financial auxiliaries (S.124)

2.57 Definition:

The sub-sector financial auxiliaries (S.124) consists of all financial corporations and quasi-corporations which are principally engaged in auxiliary financial activities, that is to say activities closely related to financial intermediation but which are not financial intermediation themselves (see paragraph 2.39).

2.58 In particular, the following financial corporations and quasi-corporations are classified in sub-sector S.124:

1. insurance brokers, salvage and average administrators, insurance and pension consultants, etc.;
2. loan brokers, securities brokers, investment advisers, etc.;
3. flotation corporations that manage the issue of securities;
4. corporations whose principal function is to guarantee, by endorsement, bills and similar instruments;
5. corporations which arrange derivative and hedging instruments, such as swaps, options and futures (without issuing them);
6. corporations providing infrastructure for financial markets;
7. central supervisory authorities of financial intermediaries and financial markets when they are separate institutional units;
8. managers of pension funds, mutual funds, etc.;
9. corporations providing stock exchange and insurance exchange;
10. non-profit institutions recognised as independent legal entities serving financial corporations, but not engaged in financial intermediation or auxiliary financial activities (see paragraph 2.44).