The types of investments that banks use to make a profit are:
a. Buying stocks and bonds.
b. Buying several properties.
c. Buying the rights to loans.


Commercial banks are profit-oriented organizations that use diverse ways to gain benefits. The primary source banks can use to make profits is lending money and other advances at higher rates compared to the cost of them.

By buying stocks and bonds, as well as properties and the rights to loans, banks can ensure that they can gain profit from their customers in the future. For example, they provide mortgages with an interest rate comprising the cost of banks’ services. The picture below shows how banks make profits in detail.

How banks make a profit infographics.
How banks make profits (www.marketingmind.in)