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by scotty79 1042 days ago
> How does a bank efficiently re-invest?

Banks that have more money then they need for operation just indulge more in gambling.

1 comments

Banks gambling in the form of credit made available to other businesses would be ideal. That's what makes everything keep ticking along. What we should be concerned about is profit taking and thereby exchanging working assets and capital for idle cash on hand.
They'd sooner invent few new classes of dervatives you can't loose on (on paper) and gamle with them than do what you suggest or anything in any way beneficial for that matter.