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comment by b_b
b_b  ·  498 days ago  ·  link  ·    ·  parent  ·  post: Insured Cash Sweep

I think there’s very little chance that a sophisticated depositor let alone an average depositor can accurately judge a bank’s risk profile. However when someone is paying a point higher than everyone else, it maybe makes sense to ask some tough questions.

wasoxygen  ·  498 days ago  ·  link  ·  

Right, “There’s no such thing as a free lunch” gets you most of the way there.

Depositors can’t easily judge how well regulators regulate either.