The next Banking crash?

[ellal]

Linky Linky

"The government is working on a plan so that UK tech firms caught up in the collapse of Silicon Valley Bank won't run out of cash, it has said"

"The Treasury said it wanted to "minimise damage to some of our most promising companies in the UK" after the US bank's failure last Friday"

"US regulators shut down the bank on Friday in what is the largest failure of a US bank since 2008"

"The bank's UK subsidiary will be put into insolvency from Sunday evening"

Amazing how all shut downs/insolvencies always happen over the weekend

"SVB collapsed in the US after failing to raise to raise $2.25bn (£1.9bn) to plug a loss from the sale of assets, mainly US government bonds, that were affected by higher interest rates.
Its troubles prompted a run on the bank in the US and sparked investor fears about the general state of the banking sector"

Nothing has changed since 2008, except the record increased levels of debt and record bank bonuses!

And instead of stumping up taxpayers' cash to bail out an american bank, why doesn't the government invest in 'some of our most promising companies in the UK' directly?

 

[JohnD]

Nothing has changed since 2008, except the record increased levels of debt and record bank bonuses!

Wrong.

To guard against banks destroying themselves, and damaging the nation, by their own unbridled greed and folly, most countries have introduced regulations compelling banks to be well-capitalised and stable.

In the US, the banking lobby persuaded the government to excuse many banks, including SVB, from these regulations.

So now, they have greed, folly, duplicity, and unwarranted trust by those who should know better.

 

[JohnD]

The small print....

 

[diy_fun_uk]

At least they've had their eye on the ball when it comes to risk management ...

Silicon Valley Bank had NO head of 'risk assessment' for nine months

Collapsed lender Silicon Valley Bank operated without a chief risk officer for nine months while the operation's UK-based CRO is accused of prioritizing diversity initiatives.

www.dailymail.co.uk

 

[Dork Lard]

Does anyone actually understand how & why this bank failed???

 

[denso13]

Does anyone actually understand how & why this bank failed???

Yes, lots of people.

 

[Dork Lard]

Yes, lots of people.

But maybe not the DiYnutters eh?

 

[Brigadier]

But maybe not the DiYnutters eh?

Post your riddle then; you know you want to.

 

[JohnD]

Does anyone actually understand how & why this bank failed???

Yes.

 

[fillyboy]

Yes.

Do you know the extent of the contagion before the banks open tomorrow?

 

[gas112]

bit of a shame that the high up management of these banks could only sell so many shares in the days leading up to the crash not that they knew what was happening

 

[Odds]

Wrong.

To guard against banks destroying themselves, and damaging the nation, by their own unbridled greed and folly, most countries have introduced regulations compelling banks to be well-capitalised and stable.

In the US, the banking lobby persuaded the government to excuse many banks, including SVB, from these regulations.

So now, they have greed, folly, duplicity, and unwarranted trust by those who should know better.

How are they getting on with legislation over tax evasion using havens like the Cayman Islands?

 

[Tigercubrider]

From what I understand, Trump changed the rules which should have prevented this.
The UK arm has been sold to HSBC.

 

[ellal]

The UK arm has been sold to HSBC.

For £1

A bit of a steal!

I wonder who propped up the banking system when it was going down the gurgler?

Oh that's right, taxpayers!

 

[fillyboy]

Credit Suisse next?