"The test's focus on commercial real estate shows that while large banks would experience heavy losses in the hypothetical scenario, they would still be able to continue lending." Because loan demand will soar during a recession?
"The test's focus on commercial real estate shows that while large banks would experience heavy losses in the hypothetical scenario, they would still be able to continue lending." Because loan demand will soar during a recession?
Its not impossible, creditors that are large enough would absolutely cash in on the opportunity for large real estate holdings, look at blackrock buying up entire neighborhoods during covid.
