Commerce Bank and Trust in Napa Valley, California, and Freemorgan Bank of Philadelphia have approximately the same average annual asset level. However, Commerce Bank lends primarily to a few large local vineyards, which harvest all their grapes in fall, while Freemorgan Bank lends small amounts to many different businesses. Both banks specialize in commercial, rather than consumer lending. What effect should the differences in the banks' commercial loan customers have on the bank's management of their securities portfolio? If you were hired as a consultant by the two banks, what type of securities would you recommend

for them?