SVB failure

[Anonymous]

Surprised there isn’t a thread already. Silicon Valley Bank has been shut down.

https://www.fdic.gov/news/press-releases/2023/pr23016.html

This is one of the biggest bank failures ever, and it’s not just a Silicon Valley thing. I think it’s going to have massive impact.

[Anonymous]

Fun for the FDIC govvies here!

[Anonymous]

It’s huge. This bank is an integral part of the start up/ early stage community. Not to mention the VC landscape.

[Anonymous]

I am in Silicon Valley. I genuinely do not know a single high tech company that doesn’t have some sort of tie to this bank.

[Anonymous]

Anonymous wrote:Surprised there isn’t a thread already. Silicon Valley Bank has been shut down.

https://www.fdic.gov/news/press-releases/2023/pr23016.html

This is one of the biggest bank failures ever, and it’s not just a Silicon Valley thing. I think it’s going to have massive impact.

We were talking about it over here: https://www.dcurbanmom.com/jforum/posts/list/1118172.page

[Anonymous]

Anonymous wrote:

Anonymous wrote:Surprised there isn’t a thread already. Silicon Valley Bank has been shut down.

https://www.fdic.gov/news/press-releases/2023/pr23016.html

This is one of the biggest bank failures ever, and it’s not just a Silicon Valley thing. I think it’s going to have massive impact.

We were talking about it over here: https://www.dcurbanmom.com/jforum/posts/list/1118172.page

But it definitely deserves it own thread.

[Anonymous]

https://www.nytimes.com/2023/03/10/business/silicon-valley-bank-stock.html

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Surprised there isn’t a thread already. Silicon Valley Bank has been shut down.

https://www.fdic.gov/news/press-releases/2023/pr23016.html

This is one of the biggest bank failures ever, and it’s not just a Silicon Valley thing. I think it’s going to have massive impact.

We were talking about it over here: https://www.dcurbanmom.com/jforum/posts/list/1118172.page

But it definitely deserves it own thread.

+1

[Anonymous]

I used to work at SVB. I am not surprised at all. Management there were handing out loans left and right when the tech boom hit. I left SVB that fall because I saw what was coming.

[Anonymous]

This is bad. For those of you that are going to say “this is a west coast big tech problem” it’s going to be felt nationwide, especially given the remote work environment.

[Anonymous]

Anonymous wrote:I used to work at SVB. I am not surprised at all. Management there were handing out loans left and right when the tech boom hit. I left SVB that fall because I saw what was coming.

But the story is they failed because of long dated treasuries as reserves; rising rates gave them too large a haircut. They should have been rolling over short-dated treasuries with less yield.

[Anonymous]

Anonymous wrote:This is bad. For those of you that are going to say “this is a west coast big tech problem” it’s going to be felt nationwide, especially given the remote work environment.

It’s going to be felt nationwide because so many funds invest in companies with holdings in the bank.

[Anonymous]

Never heard of it until now. Are they too big to fail or should we let them die?

[Anonymous]

Ashley Tyrner, CEO of Boston wellness firm FarmboxRx, said she had at least $10m deposited with SVB and has been frantically calling her banker. She called it 'the worst 18 hours of my life.'

[Anonymous]

Anonymous wrote:Never heard of it until now. Are they too big to fail or should we let them die?

I think they are too big to fail. I think the impact of a failure would be huge.