ltokuda – they are both banks- I googled “investment banks versus commercial banks” and found a link below that might help you….read below, BSC did not take deposits which actually did not help their cash position obviously. BofA just because it does take deposits as commercial bank does not mean it does not also engage in institutional trading or investment banking activities. BofA does both..
The issue is about liquidity….I’m afraid I cannot summarize this simplistically or describe all the way they might fail and how they depend on each other- read my posts about counterparties.
