Explain the need for, and role of depository systems in secondary markets. Explain the concept of custodial services.

 A depository provides security and liquidity in the market, uses money deposited for safekeeping to lend to others, invests in other securities, and offers a funds transfer system. A depository must return the deposit in the same condition upon request.

Depositories are buildings, offices, and warehouses that allow consumers and businesses to deposit money, securities, and other valuable assets for safekeeping. Depositories may include banks, safehouses, vaults, financial institutions, and other organizations.

Depositories serve multiple purposes for the general public. First, they eliminate the risk of holding physical assets to the owner. For instance, banks other financial institutions ___ _____ __________ _______ ___ __________ ___ ___ _____ _________ ____.
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