Silicon Valley Bank Collapses in Biggest Failure Since 2008
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Silicon Valley Bank Collapses in Biggest Failure Since 2008
Silicon Valley Bank became the biggest US lender to fail in more than a decade after a tumultuous week that saw an unsuccessful attempt to raise capital and a cash exodus from the tech startups that had fueled the lender’s rise.
Regulators stepped in and seized it Friday in a stunning downfall for a lender that had quadrupled in size over the past five years and was valued at more than $40 billion as recently as last year.
The move by California state regulators to take possession of the lender, known as SVB, and appoint the Federal Deposit Insurance Corp. receiver underscores the impact that the US’s rapid interest-rate increase is having on smaller lenders. SVB is the second regional lender to fold this week after Silvergate Capital Corp. announced it was voluntarily liquidating its bank, spurring a broader selloff in bank stocks.
The firms suffered amid the downturn for the technology and crypto start up world over the past several months.
“Bank runs are a lot about psychology. And at this point, it’s very rational to be nervous,” said Saule Omarova, a law professor at Cornell University.
Problems mounted for SVB mounted after Peter Thiel’s Founders Fund and other high-profile venture capital firms advised their portfolio companies to pull money from the bank. The calls followed parent company SVB Financial Group announcing that it would try to raise more than $2 billion after a significant loss on its portfolio.
Regulators stepped in and seized it Friday in a stunning downfall for a lender that had quadrupled in size over the past five years and was valued at more than $40 billion as recently as last year.
The move by California state regulators to take possession of the lender, known as SVB, and appoint the Federal Deposit Insurance Corp. receiver underscores the impact that the US’s rapid interest-rate increase is having on smaller lenders. SVB is the second regional lender to fold this week after Silvergate Capital Corp. announced it was voluntarily liquidating its bank, spurring a broader selloff in bank stocks.
The firms suffered amid the downturn for the technology and crypto start up world over the past several months.
“Bank runs are a lot about psychology. And at this point, it’s very rational to be nervous,” said Saule Omarova, a law professor at Cornell University.
Problems mounted for SVB mounted after Peter Thiel’s Founders Fund and other high-profile venture capital firms advised their portfolio companies to pull money from the bank. The calls followed parent company SVB Financial Group announcing that it would try to raise more than $2 billion after a significant loss on its portfolio.
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8DonCo
Re: Silicon Valley Bank Collapses in Biggest Failure Since 2008
Ai mua stock thằng nầy giờ chỉ còn 1/3 , ouch
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8DonCo
Re: Silicon Valley Bank Collapses in Biggest Failure Since 2008
8DonCo wrote:Ai mua stock thằng nầy giờ chỉ còn 1/3 , ouch
Hôm nay bank stocks và nhiều sectors khác rớt từa lưa luôn. Xong hàng ...
DinhT
Re: Silicon Valley Bank Collapses in Biggest Failure Since 2008
Who are the State Regulators and where do they have to money to take over SVB? I still don't quite understand why SVB collapsed? Because they made some bad investment (have bad portfolios) and tried to raised capitals which forced other companies to be concerned so they withdrew their money out of SVB and then caused it to collapsed?
ga10
Re: Silicon Valley Bank Collapses in Biggest Failure Since 2008
ga10 wrote:Who are the State Regulators and where do they have to money to take over SVB? I still don't quite understand why SVB collapsed? Because they made some bad investment (have bad portfolios) and tried to raised capitals which forced other companies to be concerned so they withdrew their money out of SVB and then caused it to collapsed?
Your questions will be answered later but today a lot of people cannot sleep
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8DonCo
Re: Silicon Valley Bank Collapses in Biggest Failure Since 2008
Nhà bank lớn 4x trong vòng 5 năm và năm rồi trị giá $40B vậy mà xụp cái rụp nhanh quá vậy?
ga10
Re: Silicon Valley Bank Collapses in Biggest Failure Since 2008
Khách hàng đổ xô vô rút tiền cùng một lúc và họ bị lỗ vì bonds xuống giá, bán ra không đủ để trả khách hàng thì chỉ có chết.
Impatience
Re: Silicon Valley Bank Collapses in Biggest Failure Since 2008
Elon Musk says he's 'open to the idea' of buying Silicon Valley Bank, but a Tesla investor tells him 'no thanks'
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8DonCo
Re: Silicon Valley Bank Collapses in Biggest Failure Since 2008
Treasury secretary rules out bailout for Silicon Valley Bank
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8DonCo
Re: Silicon Valley Bank Collapses in Biggest Failure Since 2008
U.S. government steps in and says people with funds deposited at SVB will be able to access their money
Signature Bank in New York, which was shuttered Sunday
Signature Bank in New York, which was shuttered Sunday
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8DonCo
Re: Silicon Valley Bank Collapses in Biggest Failure Since 2008
Silvergate Capital also was shut. Chưa tính là vụ FTX phá sản hôm đầu tháng 1, 2023, mấy trăm tỉ hô biến trong 1 giây. No' nói là do bị glitch gì đó trong sơftware. FTX chi tiền rất mạnh tay cho những người làm chính trị ở thủ đô Hoa Kỳ nhất là phe con lừa
More "nhà bang bị sập" will be coming to the .... theater near you . Hiệu ứng domino là chuyện đương nhiên phải xảy ra
Lúc đầu, tt vừa mới joined Xóm Chợ, có đăng 1 bài về vụ bankrun, bail-out, bail-in, và tổng số tiền người dân bỏ trong bang nhiều gấp rất nhiều lần tiền chính phủ insured...
Cho nên nhà banks đã lấy bỏ túi trước từ rất lâu rồi, bây giờ nghe tin bị sập là không có gì lạ, Anh ạ
Nga, Đức và một số nước bên Châu Âu họ đã làm mấy năm nay rồi bằng cách là mua vàng vô với số lượng khổng lồ. Tha'ng 1, 2023 họ mua vàng ở ngạch cao nhất từ trước đê"n nay
More "nhà bang bị sập" will be coming to the .... theater near you . Hiệu ứng domino là chuyện đương nhiên phải xảy ra
Lúc đầu, tt vừa mới joined Xóm Chợ, có đăng 1 bài về vụ bankrun, bail-out, bail-in, và tổng số tiền người dân bỏ trong bang nhiều gấp rất nhiều lần tiền chính phủ insured...
Cho nên nhà banks đã lấy bỏ túi trước từ rất lâu rồi, bây giờ nghe tin bị sập là không có gì lạ, Anh ạ
Nga, Đức và một số nước bên Châu Âu họ đã làm mấy năm nay rồi bằng cách là mua vàng vô với số lượng khổng lồ. Tha'ng 1, 2023 họ mua vàng ở ngạch cao nhất từ trước đê"n nay
trungthu
Re: Silicon Valley Bank Collapses in Biggest Failure Since 2008
SVB execs sold $84 million in stock over the past 2 years, stoking outrage over insider trading plans
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8DonCo
Re: Silicon Valley Bank Collapses in Biggest Failure Since 2008
nếu mấy thằng insider traders nó hốt tiền xong đi chổ khác làm, vậy lòi ra có bị tội ko?
I "know" someone whose husband was in a C-suit position at SVB, tự nhiên nó hốt bạc chảnh thí mẹ luôn, xong nó quit his c-suit job right before last Thanksgiving
I "know" someone whose husband was in a C-suit position at SVB, tự nhiên nó hốt bạc chảnh thí mẹ luôn, xong nó quit his c-suit job right before last Thanksgiving
Rice
Re: Silicon Valley Bank Collapses in Biggest Failure Since 2008
2 năm là có plan và setup hết rồi không đơn giản là làm ăn thua lổ
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8DonCo
Re: Silicon Valley Bank Collapses in Biggest Failure Since 2008
8DonCo wrote:U.S. government steps in and says people with funds deposited at SVB will be able to access their money
Signature Bank in New York, which was shuttered Sunday
I thought each bank has FDIC insurance upto $250K/acct. So FDIC has to step in to repay the customers money upto $250K/account right?
ga10
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