Does SIVB have ZERO left in the bank? Or they are just a little short, but cannot support a run on the bank?If the government can pay for the hype today, it will recoup almost all the money later. No?
They may even have the full amount needed but not liquid enough. 2008 "bailout" was very profitable to the government.
after all assets sold at par I believe there’s supposed to be 6 B left unsure how much of that can actually be sold at par besides the treasury debt. Even good debt can’t support such a big influx to the market and some of those debt is not great
’08 bailout also saved equity holders, very egregious
TARP did that to an extent and so will the ability to sell at par. Those that went under not. Lesson: never be the first to go.
Because of this administrations failures...
why? What was special about them? And what issues do they have now? Too focused on CRE?
too focused on a single sector. Also had long term maturity debt etc
Not sure I agree. Equity holders are being wiped out today not all though as you mentioned
Surprised it took this long for someone to go there.
What happens to Signature's fixed rate mortgages?
Lots of commercial debt from Signature is likely technically in default of DCSR ratios so they could technically act on that but I can imagine them doing that to raise funds.
Which can hit a number of heimishe industries very hard.
Everyone blaming the regulators for issues that were obvious in hindsight, but SVB’s problems were in plain sight for anyone to see in their public financials, yet it took until last week for anyone to raise alarm. Obviously lessons learned all around. Guess the question is - what are the regulations that will prevent this sort of risk mismanagement going forward?
Everyone blaming the regulators for issues that were obvious in hindsight, but SVB’s problems were in plain sight for anyone to see in their public financials, yet it took until last week for anyone to raise alarm. Obviously lessons learned all around.
Why didn't everyone short the stock if they knew about it?
I am sure some made lots of money on negative bets.