Investor Presentaiton

Corollary 2.1 Since state owned commercial banks are the few entities that investors trust, the involvement of commercial banks is needed. Proof Investors have expectation about f Bank (y) or that yMin for bank is sufficiently large. In contrast, investors have little information about fTrust (y) or yMin of a trust company. If it is costly to learn about fTrust (y) then investors do not buy from trust company.

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