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In an account of the financial crisis, Roger Lowenstein described the problems affecting the Merrill Lynch investment bank: "too much leverage, too much relying on short-term [borrowing], and assets, especially real estate, of dubious value."

Why might too much leverage be a problem for an investment bank? Why might relying too much on short-term borrowing be a problem?

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M92059192

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