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My understanding is that a commercial bank can be solvent as long as too many clients don’t suddenly demand too much of their assets all at once.
by 7speter 4y ago
My understanding is that a commercial bank can be solvent as long as too many clients don’t suddenly demand too much of their assets all at once.
- kragen 4y agoi think you're talking about liquidity rather than solvency solvency is when your assets (including illiquid ones) exceed your liabilities