Banks tend to focus their loans in one industry so that they can specialize on that industry and reduce the credit risk of their loan portfolio.

Name: Banks tend to focus their loans in one industry so that they can specialize on that industry and reduce the credit risk of their loan portfolio.
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Banks typically diversify their loan portfolios across various industries to spread out risk and avoid concentration in any single industry, which can reduce overall credit risk.

Banks Tend to Focus Their Loans in One Industry So