Financial institutions typically own assets equal to about 10 times their actual worth.During the financial crisis of 2007-2009 some important financial firms were leveraged by more than:

Question

Quizplus · Accepted Answer

During the financial crisis of 2007-2009, some major financial institutions were highly leveraged, with leverage ratios exceeding 30 times their net worth, which significantly increased their risk of insolvency.

Financial Institutions Typically Own Assets Equal to About 10 Times