Its simple
Your $10,000 is used in the money market until they return your balance
So Medibank make a shit load of money and you help them with your support
Most IPOs work the same way
Banks do the same thing with your deposits
So you help them make money using your money and then they have a cheek to charge a monthly service fee as well.
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- Medibank
Medibank, page-6
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Iggy Tan, Executive Chairman
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