Traditional Culture Encyclopedia - Traditional festivals - What are the two shortcomings of traditional direct financing that cannot be overcome by itself?

What are the two shortcomings of traditional direct financing that cannot be overcome by itself?

Specifically:

1. There are many restrictions on the amount, term and interest rate of direct financing.

2. Compared with indirect financing, the financial instruments used in direct financing have weak liquidity and low liquidity.

Direct financing is the symmetry of indirect financing. A financing method without the intervention of financial intermediaries. In this financing mode, in a certain period of time, the capital surplus unit will provide monetary funds to the demand unit through direct agreement with the demand unit or purchase the securities issued by the demand unit in the financial market.