But the investment bank, they're not in the business of servicing loans or keeping loans on their balance sheets.

And now what is this investment bank going to do with these loans?

They'll sell the loans to like, let's say, Bear Stearns. So that's an investment bank.

Investment

They didn't make loans and then sell the loans.

So, corporate loans, or loans to corporations or banks.

Grade

Grade

So what the bank does is it takes all these loans together, that 1 billion in loans, and it says, hey, investment bank so that's another bank why don't you give me 1 billion?

Investment income.

Corporate loans tend to be for simplicity purposes, interest only loans.

Grade Boxes

Grade Colors

I had a 1 million investment, one time investment.

They serviced the loans.

loans, they're not liquid.

Those loans aren't available.

loans to this bank.

Two of those other loans, they came due, no one was willing to renew the loans, or give them new loans.

This isn't investment.

High Grade Paper

Grade 300 cement?

You're assuming interest only loans.

They bought all these loans.

I majored in Student Loans.

So 9 million in loans.

Kiva facilitated 500,000 in loans.

loans to his customers, whatever.

SK It's two fifth grade classes and two seventh grade classes.

SK It's two fifth grade classes and two seventh grade classes.

Or think of investment.

Credit card, investment account?

isn't an unwise investment.

He skipped a grade.

With the fifth grade.

He's in fourth grade.

We have 3 billion in loans.

And then they'll sell the loans.

Let me start making loans out.

So also investment goes up.

So there's no net investment.

What is my alternative investment?

That could be an investment.

Interest on loans is high at present.

So I'm going to sell these loans.