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Lorenzo V Tan - How Investment banks will be profitable

Lorenzo V Tan benefit of the bank is that they earn again interest which we will call that as let’s assume unknowns and you know this is their interest income and this is their interest expense. So the bank actually earns money by ensuring that the interest on loans that they earn is greater than the interest on the deposits that they give.

Lorenzo V Tan defined difference between commercial and investment banks?

Lorenzo V Tan defined Commercial banks have two main functions; to accept deposits and give customers access to deposited money through checking or savings accounts, and to lend money to individuals and businesses. They are owned publicly or...


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