In the Traditional 'Originate-To-Hold' Banking Model, Where a DI Takes

Multiple Choice

In the traditional 'originate-to-hold' banking model, where a DI takes short-term deposits and uses them to make loans, the bank usually holds these loans until maturity. This exposes the bank to increased:

A) operating costs.
B) interest rate and liquidity risk.
C) increased monitoring costs
D) All of the listed options are correct.