Bank assets are held in one jar & no controls on where & how they invest,so they invest or gamble household savings & mortgages in dangerous & speculative markets such as derivatives & currencies, which caused the GFC & this must be limited.
Banks must separate their investment assets into secured private and commercial partitions. Where private savings and mortgage assets cannot be used or invested in highly speculative commercial investments. History of financial crisis clearly shows that the typical 10% liquidity holding requirements placed on banks is insufficient to guarantee financial collapses created by speculative derivatives of the commercial sections of banks which are privately owned by the shareholders. All commercial investments made by banks must be secured only by the banks commercial assets and shareholder funds and NOT DOMESTIC CLIENT SAVINGS AND private MORTGAGES. Speculative investing is what causes global financial collapses and ordinary citizens should not be held accountable for soured commercial banking investments gone wrong. In recent GFC ordinary people lose their homes, not because they couldn't pay the mortgage but because the banks speculative investments caused a major economic collapse and the banks were force to have fire sales of the only assets that were worth a penny ..people's mortgages! If banks want to invest shareholder funds and assets in speculative investments , that ok as long as they separate those investments from private client savings and mortgages ... this will guarantee that we no longer have a GFC