How does JPM's "strong balance sheet" help its clients?
Does that mean that it has more flexibility in deploying capital and can thus cater to its clients needs more readily? In terms of offering financial products, how does it help? Or is a strong BS solely to prevent a bank from going bankrupt?
It means it can offer the client other services / products, such as financing, and therefore become a full-service provider when they need advisory services. This gives them advantages over boutiques who offer nothing but advice, but is counter-balanced by the perception that this advice is far superior by them specializing in only advisory.
Okay, that makes sense. So then I suppose one bulge bracket bank having a strong BS wouldn't really distinguish it from other bulge bracket banks who have a strong balance sheet (b/c it's safe to assume most bulge bracket banks have a strong BS?)
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