Bank Analysis School April 2025

Internal Use Only

Scenario #3 Your bank has significant credit risk in the loan portfolio and the president has directed you to only purchase safe investments.

What type of bonds would you purchase?

(Zoom poll)

31

Internal Use Only

Scenario #4 Your bank has funds to invest now, but the president has directed you to only purchase bonds which could be sold later to fund future loan growth.

What type of investments would you purchase?

(Zoom poll)

32