Friday, May 31, 2013

When is a bank, not a bank? When it is a Vatican Bank

Quote from an Interview with IOR President, Ernst von Freyberg

"So you are strictly speaking not a bank?

“We are not a bank. We do not lend money, we do not make direct investments, we do not act as financial counterparts so you cannot get a swatch or a hedge from us. We do not speculate in currency or commodities, our core is we receive money as deposits and we then invest it in government bonds, some corporate bonds and in the inter-banking market where we deposit with other banks, for a slightly higher interest rate than we receive in order to be able to give it back to our customers whenever they want it.”"

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