What does the absence of any bad advance indicate?

Read the following passage carefully and choose the most appropriate answer to the question out of the four alternatives.

The public sector banks are witnessing in India a period of transition and are at crossroads, where they without giving up social responsibility, should also remain healthy. They need to undertake risky experiments yet perform it innovatively in a way it does not fail. They should make forays into new areas which are rarely tread by them and lose no emerging opportunities. It should be understood that absence of any bad advance is no sign of efficient banking system. It only indicates immense conservatism. However, this is no guarantee for profit. There should be a balance between liquidity and risk. Past sins should be forgotten. Novel and pragmatic techniques should be adopted without
which banks would be in danger.