Miscellaneous
The single largest asset class of all but one of the largest banks in the United States is permanent cash value life insurance, commonly referred to as BOLI, or Bank Owned Life Insurance. During the recent economic crisis, banks accelerated their purchasing of BOLI as it was the single most secure investment they could make.
One banker described BOLI as a "constantly resetting municipal bond that I never have to mark to market."
The majority of BOLI is current assumption Universal Life, usually sold as a single premium contract.
Read more about this topic: Universal Life Insurance