
Laughing all the way: banks’ pandemic windfall
The Intelligence from The Economist
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Banking Dynamics During the Pandemic
This chapter contrasts the financial performance of investment banks and Main Street banks during the pandemic, revealing record profits for investment banks amidst market volatility while traditional banks brace for potential loan losses. It examines the differing impacts on trading revenues, loan obligations, and regulatory measures, concluding that significant protective measures reduce the risk of a financial crisis similar to 2007-2008.
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