Bank of Queensland (ASX:BOQ) structurally weak deposit franchise leaves it with limited choice among the options on the table, Jarden said in a Monday note.

The bank's offloading of AU$3.7 billion in equipment finance loans not only reiterates its structural flaw in deposit-gathering capabilities, but creates a new vulnerability to wholesale funding/capital markets remaining buoyant, the investment and advisory firm said.

The bank's decision to return the capital back to shareholders after the sale indicates that the lender has a narrow set of options in internally deploying capital to reinvigorate growth prospects.

Its originate-to-sell model is a fair-weather financial tool susceptible to dependence, Jarden added.

The investment firm maintained its sell rating and price target of AU$5.50 on Bank of Queensland.

Bank of Queensland's shares were down past 3% in recent Tuesday trade.