Andy really has done a terrible job since Richard left. At least he doesnt do that side profile thing anymore on his "three things from Andy emails". But I still get concerned with some of his woke nonsense and considering we have slid down a couple notches since Richard I think I have some merit to that.
The "G-y" branch was probably one of his d-mbest ideas yet. Seems like pandering and I worry when you are screwing around pandering you are not taking care of business.
Sea of mayonnaise?
There actually could be something to the "woke" narrative. If SIVB would only work with tech, green energy, and other "new economy" type industries and wouldn't have manufacturing or mining and oil/gas industries. That industry concentration is what ultimately contributed to their downfall. Can you imagine the cash deposits coming in if they has a few frackers or large oil/gas companies? Maybe some manufacturing? I think people are too quick to dismiss their San Francisco woke elitist tendencies. That worked very well for them for a long time, but sometimes a little bit of diversification is a good thing.
Chicken Little, the sky is not falling. If you know anything about banking, and have been around for more than 3 years, you’d know the stress tests we’ve been through. Slow and steady wins the race, SVB is totally the hare
"Woke" isn't the cause of the worlds troubles, wean yourself off Foxnews propaganda and get your head out of your a-s. SVB failed due to mismanagement of its risk profile and customer concentration in the tech section- the very opposite of diversity, equity and inclusion and it came back to bite them right in the a-s. I sure most of the newly laid off SVB bankers no wish their bank had focused on diversity vs techbro greed. I agree that the c-suite at USB is rather incompetent two CFO's running a bank, along with a cast of id--t Mckinsey cast aways, how failed Retail banking strategies/ reorgs until the Rick Moranis lookalike is finally sent to pasture and a real banker takes over?
More opportunities for USB to gain more deposits!
"Fact...not opinion". Bwahaha. Do you really think CFO'S won't avoid USB now since the money laundering scam, the fake accounts, and the now up and coming prepaid card crisis ? Buffet even pulled his holdings. What has happened in the past is just that. This USB is tainted. And the industry knows it
Us bank has a bad reputation, and they are getting noticed.
SVBs deposit profile is very different from most other large banks. Very risky, not diversified, able to be taken down in Part by one very powerful man telling his portfolio companies what to do. (In this case, that was “get your money out of SVB now!”)
Lol you’re so right. All those CFOs when they’re evaluating the safety and soundness of their financial Institution to hold uninsured corporate deposits go to trustpilot to help them make their decision. That’s funny!
Look I’m not a fan of the bank and I think AC is a terrible CEO. I also think the majority of their C suite is a total joke particularly the former McKinsey partners Welch and Kedia. However their retail strategy has been to intentionally runoff high cost customers who use high cost branch service channels so of course they won’t have high retail consumer scores. That has nothing to do with the many large institutions who tend to tolerate lower deposit rates to ensure the safety of their money. That’s why USB will pick up significant deposits in this crisis as they have every time there has been economic stress over the last 20 years. That is a fact not an opinion.
To the Poster that wrote "USB will benefit from a rush of deposits", I suggest you read the reviews on trustpilot.com. it's not a lighthouse my friend. It's a tu-d in the punch bowl.
To the comment that this will be way worse than 2008 - that is utter nonsense. Banks are far better capitalized than they were leading up to the 2008 financial crisis. SVB had a mismatch of asset and liabilities. It is true that most other banks have MTM losses in their bond portfolio. The industry had >$600 billion in unrealized losses at the end of 2022 (BofA is the most upside down). That said the critical issue with SVB is the concentration in the high tech industry that created the deposit bleed coupled with investments tied to long duration treasuries. The loss from the sale of their securities portfolio to raise cash to meet deposit outflows is what created the loss of confidence and ultimately the run.
This is NOT the same thing as the 2008 crisis where exposure to toxic loans cratered bank balance sheets. Since then capital
requirements have increased significantly and most banks are diversified in their funding sources. Particularly larger banks who have a large portion of retail deposits well under the FDIC limits.
As much as I agree that Andy is a fake woke joker and has done a terrible job compared to RD, USB will benefit from a rush of deposits because it is always the lighthouse in an economic shitstorm because of the quality of their balance sheet.
Doesn’t have anything to do with wokeness. Has to do with how banks have played their cards and word on the street is that a handful of other top banks have played the same cards that SVB did. There are a lot of indications that once this is all said and done it will be far worse than 2008 and SVB is just the first domino to fall.