well see the government isn’t obligated, there will just be consequences if they don’t. personal consequences for him it sounds like
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Which is beyond absurd because it was small, local banks and credit unions that weathered the 2010 collapse while your Wells Fargos and Banks of America just stuck their hands out and whimpered. My bank had an A rating throughout and is not coincidentally known for being a conservative lender that diversifies their revenue with offerings like consumer insurance and investment management.
Fortunately, it sounds like Sec. Yellen is immediately throwing cold water in their faces.
https://www.cnn.com/2023/03/12/politics/janet-yellen-bailout-silicon-valley-bank-cnntv/index.html
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Yeah , I don’t see how this was caused by the English government enforcing a policy of class and racial hatred in order to “teach a lesson” to those involved.
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That didn’t last long.
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Thank you for the informative post, and welcome to BB!
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In case anyone needs a reminder, good people are being hurt by this as well. I just heard from a friend who works at Brave (the indie browser) that they had all their funds at SVB and are now not able to make payroll for the foreseeable future until this all gets sorted out somehow. My friend has two kids and they need his paycheque.
Obviously it wasn’t smart for Brave to have all their funds in one bank (most mid-size companies spread it out more) but they don’t deserve to be ruined by that decision.
If only it was just douchey tech bros who got hurt by things like this.
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No doubt that’s true and smaller companies who seek to challenge the hegemony of the major tech monopolists… And that’s almost always the case, because good people get sucked into these ideologies as much as assholes. The problem is the whole notion of libertarian deregulation that drives a lot of silicon valley and the whole of the tech sector…
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The reactionary attitudes around things like this never sit right with me either.
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the biden administration has announced that the fdic will cover all of the deposits
almost makes one think there should be state banks again… that did used to be a thing, till the invisible hand whisked them away
( only one left now )
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It’s also small medtech companies that are often developing innovative therapies for underserved patients.
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i don’t know, id say they seemed to be asleep at the wheel…
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Maybe its time for a little self interest for ourselves: How is everyone reacting to this instability? Where do you put your retirement savings if you have 'em?
I have no idea.
I know that one can’t time the market, but this sure doesn’t feel like a time to commit to anything more risky.
ETA @milliefink started a new thread, which I think properly is the place to continue retirement savings discussion. Thanks MF!
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Aside from following the news as an interested taxpayer, I’m not reacting at all. That might change once there’s more information on the impact to other banks and calls for investigations, though. My former employers chose large investment firms for retirement funds, but I still had to avoid the pitfalls faced by Enron employees and clients of Lehman Brothers. Those lessons learned were to never put all the (nest) eggs into a single basket, or trust in a single company’s stock. The same goes for banking, not that I come close to exceeding the FDIC insurance limit. 
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Thanks for inspiring the new topic and to @milliefink for creating it.
On-topic and in response, keep in mind that SVB and Signature Bank were not generally where consumers put their savings and retirement money. The former was used by early- and mid-stage tech companies to park their money and the latter was a favourite of cryptocurrency start-ups.
The failure of either of them, or really any bank, still sends shockwaves through the rest of the system, though. There’s only do much anyone can do about these things.
ETA: an example of the herd mentality stampede that can follow when one bank fails:
[Archive]
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