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Definition of âfinancial instrumentâ - English Dictionary. See all translations. uk â us â FINANCE, MONEY. âº a financial asset that can be bought or sold, such as a bond, share, or other security (= an investment that can be traded): There is a simple relationship between the price of a financial instrument and its yield.
In finance and economics, a financial institution is an institution that provides financial services for its clients or members. One of the most important financial services provided by a financial institution is acting as a financial intermediary. Most financial institutions are regulated by the government.