Where do banks obtain brokered deposits?
A) middlemen splitting large deposits into smaller deposits
B) middlemen pooling small deposits into larger deposits
C) security brokers depositing their proceeds of transactions
D) a and b

Question

Quizplus · Accepted Answer

Banks obtain brokered deposits either through middlemen who split large deposits into smaller ones to meet insurance limits (A) or by pooling small deposits into larger deposits (B), making both A and B correct.

Where Do Banks Obtain Brokered Deposits