Silicon Valley Bank (SVB) was the 16th largest bank in the US, and it wasn't subject to the most strict controls. How many banks actually are subject to those controls, besides the big four? Any bank could suffer a run and fail, and if that happens to a community level or even state level bank it probably won't upset the national economy or ecosystem of banks, but any multi-state bank should be more closely watched.
Government policy has thrown the future under the bus for decades. The day of judgment is near. I predict an 80% drop in the stock market. Investors will abandon stocks in favor of real estate. There will be no money in banks... You must devise a strategy for survival
You have a very valid point, I started investing on my own and for a long time, the market was really ripping me off. I decided to hire a broker, even though I was skeptical at first, and I beat the market by more than 9%. I thought it was a fluke until it happened two years in a row, and so I’ve been sticking to investing via an analyst.
@Jane Viella she actually appears to be well-read and educated. I just did a Google search for her name and found her webpage, I appreciate you sharing
Considering the recent developments involving SVB, Signature Bank, and First Republic Bank, reminiscent of the 2008 market crash, is it prudent to continue saving in the United States dollar? Alternatively, would it be wise to contemplate investing in gold amidst these circumstances?
Given the current market situation and the precarious state of the economy, I would recommend refraining from investing in stocks for a while or, alternatively, seeking guidance from a financial advisor. However, keeping a portion of your wealth in gold remains a wise choice.
I consider gold investment to be dependable and intend to increase my holdings to recoup losses. While silver is also a promising investment, it differs from my collectibles. Having clear investment goals and acquiring knowledge in the field are essential. I collaborate with Laurel Dell Sroufe, a financial consultant regulated by the SEC. Through modest initial investments, I have gradually accumulated nearly $799k over time.
@tatianastarcic she actually appears to be well-read and educated. I just did a Google search for her name and found her webpage, I appreciate you sharing
What happened to SVB is really scary, and goes to show that no corporation, however big, is immune to collapse. I have always had a deep-seated mistrust for corporations. I have plans to pull out most of my money, but don't know what to do with $350k sitting idly. I'd like to go into the stock market, maybe. Any ideas?
All big corps are just a cohort of centralised system working together, and any damage to one can have a dangerous ripple effect on every other one. I learned a long time ago to not trust corporations. Most of my money is in the stock market and my businesses. I keep only what I need to spend in my checking account.
Ironically, these are the conditions in which life-changing money is made by those who remain calm, patient, and take controlled risks. Vola tility goes both ways. The banks are in a big crisis. The market looks very shaky. The bigger the red candles, the bigger the green ones. I have made over $ 280k in the last 4 months by investing through my FA.
There are many you could potentially find online. I personally work with Deborah Sue Bohn , and she's been spectacular. But there are also many others you could check out yourself.
I’m a 2-person vendor to an SVB customer. I didn’t get paid on Friday, and have no idea when I will. But what happens to us “little people” when we pay bills late…things like evictions, repos, disconnects, hits to our credit. What happens to incompetent, arrogant bankers….bonuses, stock sales, severances, tax payer bailouts. This is the system at its finest.
@@TheKingkingg No Im not joking. The reality is that relatively small depositors such as you were never at risk of much more than a few days of inconvenience. The issue is whether massive corporate investors such as Circle (backed by Goldman Sachs and Blackrock) with $3.3 Bn deposits would also be bailed out. Obviously if Goldman partners had gone on the talk shows and begged for a $3.3bn bail out from tax payer / bank depositor funds, they would have had little sympathy. Therefore they had to rely on smaller investors kicking up a political storm and forcing Biden / Powell to bail out ALL depositors - including the multi billionaires.
@benny soda No I'm just someone who objects to regular people like me and you be bailing out billionaires. No problem with bailing out those with modest deposits if say up to $10m. I object to bailing out the likes of Circle -a crypto scam business backed by Goldman Sachs to the tune of $3.3bn. If you think this is a good way to spend public funds, please explain why .
The failure of Silicon Valley Bank has torn into global markets, with investors ripping up their forecasts for further rises in interest rates and dumping bank stocks around the world. I'm at a crossroads deciding if to liquidate my dipping 200k stocck portfolio, what’s the best way to take advantage of this bear market?.
The SVB situation is a reminder that Fed hikes are having an effect, even if the economy has held up so far,” It’s precisely at times like these that investors need to be on guard against the next certainty. You don’t have to act on every forecast, hence i will suggest you get yourself a financial-advisor
@@AshtonGrace I think it's brilliant to use a brokerage advisor for investing. Prior to speaking with an advisor in the heat of the 2008 financial crisis, I was actually experiencing terrifying nightmares. In summary, with the assistance of my advisor, I have grown my initial $20k investment to over $250k.
@@ReidCoffman1 I’ve actually been looking into advisors lately, the news I’ve been seeing in the market hasn’t been so encouraging. who’s the person guiding you?
Big picture - what you guys reported is mostly true. However, there is also incompetence of the highest level at Silicon Valley Bank due to a lack of risk management and not putting on interest rate hedges, especially knowing that your bank's holdings are so heavily concentrated in bonds and fixed income securities.
Very true. This should have been basic risk management for a bank. First and foremost, this is a failure of a private business (capitalism) caused by greed and stupidity.
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. You are clueless.
Anyone who had over $250,000 in the bank should have had to pay for insurance to cover any excess deposits. Otherwise, screw them. Taxpayers should not be on the hook for their mismanagement.
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. You are clueless.
In all honesty, I'm curious in their management and financial structure. The beginning of a financial disaster is now. It's unsettling to not know which bank to hold onto.
@Matt Van Wie I concur with you. primarily because experts manage the majority of these strategies and loopholes better. By taking my coach's recommendations, I was able to scale from $35K to 65K throughout this crash.
@@joecaruso06 Coming from someone who has participated both proactively and passively. I completely concur that it is best to ask an expert for assistance as you learn at your own pace. For instance, I've been able to create a $262k portfolioo following - Yvonne Annette Lively guide. Financial security is obtained by careful saves & Invst.
SVB wasn't diversified enough among its customers and investments, leaving itself vulnerable to rising interest rates. Most of its loans were in the tech sector, while its investments were in long-term treasuries. BOTH of them are struggling against rising interest rates, which the bank didn't hedge against. Deregulation plus incompetent management are why this bank failed.
The thing about interest rates, they are lowered when the economy is slow which can cause layoffs and job losses to get people to spend less money. They are raised when there is less product and more demand, which raises prices, for instance if there is a fuel shortage, they raise the price of fuel, and that causes every product to cost more to transport and deliver, it causes inflation. A bank should be diverse enough to handle both situations and prepare for it. To be clear, when gas prices went up, it wasn't because we had a shortage of Fuel, it was OPEC that purposely cut back on the production of fuel, to cause the US to experience inflation, why? Because they wanted their Trump Puppet back in office so they could continue to everything they could to use his greed to cripple our country, tear it apart, and have full control of all of the oil producing countries in the world. So when the interest rates are going up, that is a good thing, it means our country is fighting to keep us out of inflation, and to keep our economy healthy.
@@jc478 I agree with *most* of what you said but I think OPEC was price gouging - plain and simple. These oil companies do what ever they want to do no matter who the president is. And I'm glad you mentioned the fact that they cut back on production on purpose. Most people think Biden had something to do with it but he didn't. Presidents don't control oil production.
They want to inspect banks, in particular smaller banks run by hedge funds because they use deposits like capital in their hedge fund. They win, and get rich, they lose nothing and walk away from it. The billion-dollar loss is a fraction of the bank's value, I suspect they were doing hedge fund things like Crypto hedge and Crypto just collapsed and then this happens in this tech/Crypto bank.
@@JoniDiMaggio Oh definitely there was price gouging, but I do believe they were raising it to increase inflation on the US as well. Biden's infrastructure threatens their way of life, and the idea of weaning off of it, is not something the big oil wants to do. They should be putting money into newer forms of energy, instead of trying to stop progress. Anyway, that is why so many of the oil countries are not wanting Biden around, and they made more money than ever.
Steps to follow for failing banks ( there is a precedent in a Scandinavian country): 1) Don’t bailout the bank 2) Put in jail all its executives 3) Nationalize the bank 4) Clean up the mess 5) Resell the bank to the public 6) Do not compensate current investors You save taxpayers money 🤷♂️
@@wheelhouse15 they had almost no diversity and they over leveraged the shit out of their deposit to loan percentages. Federal currency reserve banking. They essentially loaned out 100% of their deposits which used to be illegal before the deregulation of Dodd Frank.
@@wheelhouse15 they did a lot wrong my man otherwise they wouldn’t be the topic of tonight’s discussion. They didn’t loose the lottery. They played fast and loose in a game with rules
@@jeffreyhall76 I don't see how they played fast-and-lose when they were investing in US Treasury bonds (I'm not sure what they had in bills, notes and bond, etc). If anything, it was the completely opposite of fast-and-loose, they were actually cautious and got caught flat-footed when rates spiked. As for banking reserves, even if they held 10% it wouldn't have been enough since they were hit by a huge run. I think the major issue was that they didn't do proper market analysis and didn't properly identify the risk of rapid interest rate hikes. If they had, they should have sold their longer term bonds and gone with the short-term bills. This would have allowed them to turn over their investments much faster and allowed them to pace the rate increase more closely.
That is why you will die poor. The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. You are clueless.
@@michaelgentile9580 *_That is why you will die poor._* Hilarious, coming from someone defending a bank that just went stone broke due to investing LMAO. Go ahead homie. Gamble your money away. But don't come crying for bailouts when the markets crash. If you're willing to accept the wins, you damn well better be prepared to accept the losses. *_The most capitalized bank in the US holds 6.5% in reserves._* If they hadn't lost half their depositor's money on a gamble that went south, they wouldn't need reserves, now would they? YOU are clueless.
They stopped a bankrun this time to save the economy and help out the customers not the investors. At least they seem to have learned from the 2008 collapse.
The customers are a lot of "businesses" with valuations in the millions and no cash flow. The "depositors" are really the cash for the zero-rate start-up funding by the VCs that were underwritten at this one industry fave bank because it had lax underwriting standards and gave out perks to the founders like favorable mortgage rates backed by future expected returns (used loosely, no cash flow needed). They then had to keep all their money in this bank to get the terms. It's not a particularly sympathetic story, but that's being obfuscated quite well.
Im a professional institutional trader, to say this bank did not make risky investments is incorrect. Banks entire business model revolves around managing interest rate risk, and the company willingly decided not to hedge this risk with interest rate swaps, this was a bet against the Fed hiking rates. Being a bank it is your JOB to among interest rate risk.
Also basic business practice is to sweep your excess cash into a MM since you know the limit is 250K AND you'll earn a better yield on excess cash, this was PURE NEGLIGENCE. by both depositors and the bank,.
As a professional, do you think depositors, that paid for private deposit insurance, for the balance over $250K, should be reimbursed by the feds for their premiums.
@@Stewiehleba Why should the private insurer be forced to pay out if the feds are covering those that didn't value there deposits enough to insure their deposits.
@@rubym357 best not to even acknowledge losers like Sal....just be glad You're not like him....hes got one lead poisoned brain cell..😂 people like him dont count...
@@shawnwilliam4653 Awww... Did I hurt your feels? I'm glad you don't like the investors though. Regular people who use apps like Robinhood and bought this stock, f-em. Pension funds like the one for the railroad workers who have boards the invest in stocks like this f-em too! According to you. Regular folks who might not know they were invested in this bank don't count either.
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. No regulation in the world would have made one iota of difference. You are clueless.
The bank collapsed because it's a *bank,* and that's what banks do. Every time a bank collapses, people run in circles, scream and shout, ya hey. Then they pass regulations. When no banks collapse for a while, people pat themselves on the back and say everything is fixed. Then another bank fails. This is capitalism.
@@joeyharper4976 wtf? are you talking about. This failure is mostly Traitor trumps fault. This was due to a bill your messiah cheesus passed under his nazi regime. duh!
@@TheapprehensiveTaoist "Everything that happens under Trump administration is on him and no one else".. Keep that same energy for Biden. This is HIS administration.
The fed takes care of the wealthy investors They will be helped even above the normal 250,000 but wait wealthy people hate socialism but not in a corperatly owned Oligarchy
I disagree with bailing out billion dollar deposits of companies. If individuals have more than 250k in accounts they're left to burn. Happened in 2008. People lost their homes. But protect the precious businesses ??? Not even. Maybe a million people losing their jobs would force government to regulate banks. As it is NOTHING WILL CHANGE BECAUSE OF THIS. Flat out. There will be 0 regulations following this. Horrible unregulated bank practices will continue unabated.
I don't know enough about high finance to opine on whether bailouts in excess of $250k are warranted here. But I would like to know, what other rules exist only on paper that I am free to ignore with impunity?
Most of this is Trump's fault and 17 dummy Democrats voted with Republicans to rolled back on a bank regulation bill,look it up.. People do your research..
Cenk-, Anna, the REAL story here is trump ONLY DEREGULATED the SMALLER BANKS! Claiming it would FREE them to make greater profits, when in FACT it did just the OPPOSITE! Look, interest rates were overdue to go up for years, and if not for trump's deregulation, this would not have happened, period! Trump IS an IDIOT.
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. You are clueless.
@@michaelgentile9580 a small number of VCs caused a bank run, collapsing the bank, and then called for the government to bail out all the depositors. Socialising the losses, after getting 0% loans (private profits). I'm sorry this concept was too complicated for you to grasp.
On May 4, 2018 Trump and the GOP removed the pivotal regulations which caused the collapse of Silicon Valley Bank (SVB). Video of Trump SURFACES Showing his TOTAL CULPABILITY th-cam.com/video/3d1EYyrBDpw/w-d-xo.html
Money is a "Foogazi" or however you spell it and this is all a ploy to keep us commoners believing it has true value and keep the powerful in power. This has been figured out years ago and it will continue to happen until we break away.
Yeah Powell never said ppl would lose their jobs within hours. Depression coming up. Better hit those groceries stores cash won't be worth the paper in a depression.
Government bonds exposure is a giant risk, it’s basically exposure to interest rates. Any bank would hedge those exposures with interest rate swap, it’s rates trading 101. Somehow SVB sold those hedges. There is no way to understand that.
Ok so this was EXTREMELY cringe to watch. Ensure ALL deposits an UNLIMITED amount??? 😵💫🤦😵💫🤦 Allow me to mercilessly destroy just how ignorant that is economically. Let's say I decide to open a horrible bank with no profits at all called Trump Bank or Bernie Bank and I take all the Trump Supporters money or Bernie Bros money who joined the bank only to support Trump or Bernie and I pocket it and take off to China. Guess who has to pay for all of these depositors who should have performed research on their bank and moved money over 250k to other banks and investments... YOU. WHOEVER reading this YOU pay those customers because TYT thinks you should have to rescue every depositor. Does that sound like a good idea??? Banks are insured by OUR money up to 250k because 250k and under IS THE MIDDLE CLASS. Its like wowwwww freakin TYT really spun this around harder than an e-brake and a hard left turn! Yeesh. If I didnt win you over ask yourself this... Did you hear TYT mention even one time the name "JOSEPH GENTILE"? No? Me neither. He worked as a shotty executive for Lehman Brothers when they got greedy and failed and everyone got bailouts and then was hired at SVB where he did it all over again. 0 mention of him. TYT clearly either is completely ignorant of basic freshman level economics or someone there has some agenda with the banks. TYT should fight for student loan bailouts as hard as they fight for these bank bailouts. NO MORE BAILOUTS.
Lol it's always funny when TYT tries to reel their maniacal base in 👍 TYT: "EaT tHa rICh" (their boss is a millionaire 😆) Also TYT: Hey guys let's not wish this on... it's actually not good when banks fail. We actually need the banks....
@@nikhtzatzi Your comment doesn't make a whole lot of sense to me... If something is not PRACTICAL.. if you keep campaigning on it then it's literally THEATER. You can't be all "eAt tHa RiCh" then when the PRACTICAL CONSEQUENCES of that show up then you want to jump ship. No...go down with that ship man. Go all the way down with it.
@@lVlemphizNeither it makes to me- The extremism of these sentences. But i get the point , things are never the same, To not highlight the uber oligarchy of the modern era leads to propable future enslavement. I get whats the purpose of the rage. The part i dont get is if anyone can give a practical way so that everytjing doesnt collapse first. It is logical that people here in TYT also ubderstand that and warn the radical viewers "dont be so fast to laugh on this"
Gambling, the entire world depends on it. What is the stock market but gambling? Gambling, while not specifically a sin is looked on as one. But the the good moral christians care, no, they are too concerned about other people's bedrooms They covet money, which they hope to make in a quick and easy way. 1 Timothy 6:10 declares that "the love of money is the root of all evil." Therefore, the enticement of gambling and playing the lottery comes under these texts.
Absolutely. Bank runs ended only when deposits became guaranteed. Now the guaranteed deposits are too small. So we guarantee bigger ones. This, however, does NOT guarantee that banks don't behave so stupidly that they tank the economy. This was a liquidity problem, bad but meh, can happen to anybody. What if it comes out that 90 BILLION in startup loans are a total loss?
There are 4 banks in the USA that service the crypto industry. Silverware, SVB, and Signature were 3 of them. Coincidence? Why are they busting their balls trying to save First Republic, and leaving the other 3 for dead?
Could you at least do what the news is saying? This was trump's deregulation!! You keep talking about the corporate press but you're also borrowing the facts
It sounds like the biggest issues here are federal deregulations and the Fed continuing to raise interest rates with the intent to hurt the "everyman". Now that a major bank is affect the government turns urkel "did I do that??" face ass 🙄
The interest rates are the results of an overheated economy, which is caused by Biden spending more money than has ever existed in US history combined. Trump wanted to spend 200 billion on a wall and you said that was too expensive. Biden wants to spend 25 Trillion on nothing particular and you cheer him on.
@@meco4068 A few million like every president does. Which is less than the Billions Trump wanted to spend on the wall. Which is less than the Trillions Biden is spending on what can generously be called ESG.
it's not their fault, what happened was the result of hiking interest rates 5 folds, the federal reserve raised interest rates to lower inflation, inflation was caused by the stimulus package that the democrats passed while republicans tried to stop them.
@@TeddyKrimsony Not their fault? Lol Right! Inflation was caused by these big corporations/businesses raising their prices to make Recording Breaking Profits and thinking we were happy to pay for it. Placing us back under their boot before we could reap the benefits of our tiny little raises/ and breath easier with a little extra cash in our pockets. None of these companies needed to raise their rates!!! Not 1!!
There was also bad judgement by the depositors with accounts over $250,000. The FDIC would've gotten to those depositors 2nd in line and they would have probably recovered most of their funds. Then bond holders and finally investors. These bailouts are making it possible for bondholders and investors to potentially recover some of their investment. Which is BS. Bad decisions should be punished otherwise its a positive feedback loop to keep making bad decisions.
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. No regulation in the world would have made one iota of difference. You are clueless.
Could we please have basic banking services through USPS, who have remit to provide these if Congress would act? That would allow most Americans to have their everyday banking needs covered cheaply and without the risks that profit driven banks impose. Regulation could also safeguard transactional and payroll funds in any bank. There’s a downside to bailing out above $250K. Widespread failures would force govt to act and prevent more of these in the future. We need much simpler banking that is reliable and not destabilizing. Govt has learned little from 1929 or 2008.
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. No regulation in the world would have made one iota of difference. You are clueless.
Federal reserve created this scenario, they unnecessarily reduced the interest rates to zero during the pandemic, Silicon Valley Bank made a mistake by buying almost 0 interest bonds, they should’ve stayed in cash. Now the federal reserve is raising the interest rates too quickly the bonds that purchased two years ago are losing their value.
@@recycled3654You forget the history of the events. I am saying they reduced the interest to zero during pandemic, it was not needed. They also screwed up the housing market. Now they are raising the interest rates as if it was not zero just 1.5 years ago. You cannot change the parameters too quickly and expect that they are normal and wont have side effects.
For everyone losing your shit on TYT, maybe consider looking at the effect big business and big banks affected you. I would bet that it’s a lot more than you realize and it’s your representatives’ faults.
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. You are clueless.
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. No regulation in the world would have made one iota of difference. You are clueless.
You guys were the first in the breach for new news media and no matter what’s happened it’s clear y’all have the most time doing this cheers what a great program 🎉🎉🎉
Perfect example of: "privatize the profit publicize the loss". This statement should be the anomaly not the basis for running a business or obscurely written into laws. It guarantees that the "risk takers" never loose a dime.
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. You are clueless.
banks are such a weird institution. Literally gambling with their customers money. if they win, they gain the profits for themselves. If they lose, the customer lost thier money. Insanity
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. You are clueless.
I remember in the early 1990s Orange county in California went bankrupt. My husband lost his job. Orange county had invested it's money in stocks that were effected by interest rates. The county laid thousands of county employees.
Any bank that goes bankrupt should be covered for depositor losses but also converted into a non-profit credit union. Also, yes re-regulate them and require 5% cash or easily liquidated assets. The entire banking system is at risk of failure because the rising interest rates are reducing the value of bonds and therefore their investments are worthless.
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. You are clueless.
Really bad take. Depositors and banks can buy excess insurance. There are also interbank programs like CDARS and MaxSafe to protect against loss over the FDIC limits. These business didn't have enough insurance to cover their asset and want someone else to take responsibility for their cost-savings risk.
The fin-Market;s have underperformed the U.S. economy as fear of inflation hammers the prices of stock;s and bonds. My portfoliio of $750k is down to $592k any recommendation;s to scale up my return;s during this crash will be highly appreciated.
Very big con and that is why i have always maintained that people should never have their money in the bank! Get a financial advisor and even make so much more while saving!
@@Isaacmeide Based on personal experience working with an investment advisor, I currently have $385k in a well-diversified portfolio that has experienced exponential growth. It's not only about having money to invest in stocks, but you also need to be knowledgeable, persistent, and have strong hands to back it up.
@@kevsmills wow ,that’s stirring! Do you mind connecting me to your advisor please. I desperately need one to diversified my portfolio, I am so done with banks!
@@andreasleonard0 Isabel Linda Dueri” is my portfolio-coach, I found her on Bloomberg where she was featured, I looked up her name on the internet. Fortunately I came across her site and reached out to her, you can verify her yoursel
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. No regulation in the world would have made one iota of difference. You are clueless.
The best part is "it's not a bailout" even though every business will be made whole. This is just telling me the banks will survive regardless how bad they operate.
Imagine if you ran a business and you could steal your customers money without any consequences. Only to have the government pay back the people you stole from.
I still blame the FEDs for this, because in the end they benefit by either buying off the failed banks cheaper or something. The fed can print credit as long as someone will borrow it into existence, but they cannot print product (or production).
Every day we have a new problem. It's the new normal. At first we thought it was a crisis, now we know it's a new normal and we have to adapt. this year will be a year of severe economic pain all over the nation.. what steps can we take to generate more income during quantitative adjustment?I can't afford my hard-earned $180,000 savings to turn to dust
The idea of financial adviser aid may seem controversial to some, but according to a recent Investopedia survey, demand for financial advisors has increased by over 41.8% since the pandemic, and based on personal experience, I can say with certainty that their skill sets are top-notch. From a sluggish $385K that lacked growth stocks, I raised almost $500k in 18 months.
@@anthonymilner1088 Having an investment advisor is the best way to go. Based on a direct encounter with a CFP named Corinne Cecilia Heaney, I can say with certainty that their skills are excellent. She helped raise almost $500,000 in 18 months from an initially stagnant portfolio of $380,000.
Bankers in charge expected that interest rates would stay at historic lows forever. They didn't adjust along the year while interest rates has been increasing. They should be in jail.
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. You are clueless.
Trump, All of GOP and Corporate Democrats. In May 2018, Trump Signed into Law the Economic Growth, Regulatory Relief and Consumer Protection Act through Bipartisan bargain where All Republicans and 17 Democrats voted for that Bill. A Bill that loosened or got rid of some key banking regulations. It rolled back rules that prevented banks that take customer deposits from making risky bets on the financial markets, mandate the size of banks’ capital reserves or how much cash they have on hand and require banks to perform routine “stress tests” that simulate a crisis to see if they can remain solvent. Now that Bill is what's backfired. A Similar example to this would be the Texas Power Grid which was deregulated and is controlled by Electric Reliability Council of Texas which trades on supply and demand hence a competitive price market. In Feb 2021 Texas faced record low temperatures the state’s electric grid operator lost control of power supply leaving millions without access to electricity. So what were these deregulations that led to that? It’s the decision not to require equipment upgrades to better withstand extreme winter temperatures and the lack of diversity choice to operate thus mostly isolated from other grids in the U.S. hence no back-up systems which left Texas power system unprepared for the winter crisis. But of course the GOP was out there quoting and blaming ‘wokeness and green energy’ to rile up their ignorant base yet natural gas, nuclear and coal plants are the ones that provide & supply most of the state’s energy which heavily struggled to operate during the storm. Similar to Silicon Valley bank, The Laws Passed allowed the Banking System to Avoid having Capital on hand and the liquidity to deal with a situation like this. Instead of taking any regulatory action, they ended up getting guidelines that were unenforceable and largely ignored precautions in the rush for profits. Clearly we need to change our regulatory focus to protect the people, not profits.
*LETS REMEMBER - THERE IS NO REASON FOR INTEREST RATES TO BE HIGH* this is NOT a consumer-driven inflation - this is a SUPPLY SHORTAGE inflation + Price gouging
@@SaintGerbilUK AND THERE YOU GO demonstrating a 3rd grade understanding of economics - NO IT DOES NOT, what does contribute to inflation is NOT taxing that money back in when it makes its way to the TOP 1%. *GOVERNMENTS SPENDING MONEY DOES NOT CAUSE INFLATION* get that right wing bullsh!t out of your head - it stimulates the economy and creates jobs, what causes inflation is LEAVING that money in the system when it makes its way to the TOP 1% "WHERE IS THE MONEY NOW...?" is the question you need to ask, and the answer is ALWAYS in the pockets of the top 1% You are confusing *VELOCITY* of money with *QUANTITY* of money - and this is how the right wing brainwash badly educated people and this is WHY Reagan defunded education spending by nearly 50% to breed stupId people who say thigs like "So Biden spending more money than has ever existed in the entire history of the US doesn't cause inflation?" Also he has not spent more money than bla bla bla what a stup!d statement.
@@piccalillipit9211 So what is causing the inflation? Its just a coincidence that unpreceidented inflation lines up with unpreceidented government spending. You can't spend your way out of having spent too much. Find me any president who has spent as much as Biden? The US Budget used to be in Billions and under Trump it was 1-2 Trillion now under Biden its 20-30 Trillion.
@Kevin Michael True the stimulus packages are some of the cause of inflation. However progressives were calling him hitler for not giving more or more often. I think we can agree that it was a pandemic and while the best moves were not always taken they were the best we had at the time? The question I have is why did Biden do another one (or was it two)? He was even talking about another one after he declared the pandemic over.
No-one addressing the elephant in the room, which is that the reason for most of the problems in the economy is a lack of productive expansion. Simply put this is using MONEY to make (more) useful THINGS.
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. No regulation in the world would have made one iota of difference. You are clueless. If they don't invest it how do they pay interest? Where do you get a car loan? DUH!
The bankers should lose their jobs. The bank should go under. They could have invested in shorter term securities and not gotten pinned to heavy losses due to rising interest rates. It's clear that capital requirements are not high enough. The depositors for up to 250k should be protected. Every other depositor -nope. Etsy can pound sand. They can file lawsuits against the goons who ran the bank. If this was joe everyman, the bank would have bent him over and rammed it up his behind. It's time for an even playing field. Also, the fed needs to stop raising interest rates. Inflation is due to shortages and price gouging, not loose money supply.
1:08 True but the ceo of the failed bank sold almost 4million $ of there SVB stock before anyone knew what was about to happen exactly 24 before the news came out actually.. he should be fined for 90% of the money he got selling the stock.
Silicon Valley Bank (SVB) was the 16th largest bank in the US, and it wasn't subject to the most strict controls. How many banks actually are subject to those controls, besides the big four? Any bank could suffer a run and fail, and if that happens to a community level or even state level bank it probably won't upset the national economy or ecosystem of banks, but any multi-state bank should be more closely watched.
Government policy has thrown the future under the bus for decades. The day of judgment is near. I predict an 80% drop in the stock market. Investors will abandon stocks in favor of real estate. There will be no money in banks... You must devise a strategy for survival
You have a very valid point, I started investing on my own and for a long time, the market was really ripping me off. I decided to hire a broker, even though I was skeptical at first, and I beat the market by more than 9%. I thought it was a fluke until it happened two years in a row, and so I’ve been sticking to investing via an analyst.
Such a priceless tip, Thank you so much!
This is absolutely fantastic the way good work speaks I practically see Sofia Erailda everywhere
@Jane Viella she actually appears to be well-read and educated. I just did a Google search for her name and found her webpage, I appreciate you sharing
Considering the recent developments involving SVB, Signature Bank, and First Republic Bank, reminiscent of the 2008 market crash, is it prudent to continue saving in the United States dollar? Alternatively, would it be wise to contemplate investing in gold amidst these circumstances?
Given the current market situation and the precarious state of the economy, I would recommend refraining from investing in stocks for a while or, alternatively, seeking guidance from a financial advisor. However, keeping a portion of your wealth in gold remains a wise choice.
I consider gold investment to be dependable and intend to increase my holdings to recoup losses. While silver is also a promising investment, it differs from my collectibles. Having clear investment goals and acquiring knowledge in the field are essential. I collaborate with Laurel Dell Sroufe, a financial consultant regulated by the SEC. Through modest initial investments, I have gradually accumulated nearly $799k over time.
@@tatianastarcic How can i reach her, because I’m seeking for a more effective investment approach on my saving.
@@maiadazz Laurel Dell Sroufe maintains an online presence that can be easily found through a simple search of her name on the internet.
@tatianastarcic she actually appears to be well-read and educated. I just did a Google search for her name and found her webpage, I appreciate you sharing
What happened to SVB is really scary, and goes to show that no corporation, however big, is immune to collapse. I have always had a deep-seated mistrust for corporations. I have plans to pull out most of my money, but don't know what to do with $350k sitting idly. I'd like to go into the stock market, maybe. Any ideas?
All big corps are just a cohort of centralised system working together, and any damage to one can have a dangerous ripple effect on every other one. I learned a long time ago to not trust corporations. Most of my money is in the stock market and my businesses. I keep only what I need to spend in my checking account.
Ironically, these are the conditions in which life-changing money is made by those who remain calm, patient, and take controlled risks. Vola tility goes both ways. The banks are in a big crisis. The market looks very shaky. The bigger the red candles, the bigger the green ones. I have made over $ 280k in the last 4 months by investing through my FA.
Wow. I've heard similar success story from people who work with advisrs. How do I get in touch with yours, please?
There are many you could potentially find online. I personally work with Deborah Sue Bohn , and she's been spectacular. But there are also many others you could check out yourself.
Thank you for this Pointer. It was easy to find your handler, She seems very proficient and flexible. I booked a call session with her.
I’m a 2-person vendor to an SVB customer. I didn’t get paid on Friday, and have no idea when I will. But what happens to us “little people” when we pay bills late…things like evictions, repos, disconnects, hits to our credit. What happens to incompetent, arrogant bankers….bonuses, stock sales, severances, tax payer bailouts. This is the system at its finest.
It is very sad you and millions of us, but our souls are more important and they cannot destroy which is their plan
Stop Over Acting
@@spiffingbooks2903 please tell the world you are joking, but it's not funny.
@@TheKingkingg No Im not joking. The reality is that relatively small depositors such as you were never at risk of much more than a few days of inconvenience. The issue is whether massive corporate investors such as Circle (backed by Goldman Sachs and Blackrock) with $3.3 Bn deposits would also be bailed out. Obviously if Goldman partners had gone on the talk shows and begged for a $3.3bn bail out from tax payer / bank depositor funds, they would have had little sympathy. Therefore they had to rely on smaller investors kicking up a political storm and forcing Biden / Powell to bail out ALL depositors - including the multi billionaires.
@benny soda No I'm just someone who objects to regular people like me and you be bailing out billionaires. No problem with bailing out those with modest deposits if say up to $10m. I object to bailing out the likes of Circle -a crypto scam business backed by Goldman Sachs to the tune of $3.3bn. If you think this is a good way to spend public funds, please explain why .
The failure of Silicon Valley Bank has torn into global markets, with investors ripping up their forecasts for further rises in interest rates and dumping bank stocks around the world. I'm at a crossroads deciding if to liquidate my dipping 200k stocck portfolio, what’s the best way to take advantage of this bear market?.
The SVB situation is a reminder that Fed hikes are having an effect, even if the economy has held up so far,” It’s precisely at times like these that investors need to be on guard against the next certainty. You don’t have to act on every forecast, hence i will suggest you get yourself a financial-advisor
@@AshtonGrace I think it's brilliant to use a brokerage advisor for investing. Prior to speaking with an advisor in the heat of the 2008 financial crisis, I was actually experiencing terrifying nightmares. In summary, with the assistance of my advisor, I have grown my initial $20k investment to over $250k.
@@ReidCoffman1 I’ve actually been looking into advisors lately, the news I’ve been seeing in the market hasn’t been so encouraging. who’s the person guiding you?
@@MariusNatt Maria Teresa Tyler is the adviser guiding me, she is verifiable on the web.
@@ReidCoffman1 Thank you for the lead. I searched her up, and I have sent her an email. I hope she gets back to me soon
Screw the investors. Imprison the executives.
They did nothing wrong. This was a run the bank. Not a financial scandal. Pay attention before you start screaming "Crucify them!"
Big picture - what you guys reported is mostly true. However, there is also incompetence of the highest level at Silicon Valley Bank due to a lack of risk management and not putting on interest rate hedges, especially knowing that your bank's holdings are so heavily concentrated in bonds and fixed income securities.
Very true. This should have been basic risk management for a bank. First and foremost, this is a failure of a private business (capitalism) caused by greed and stupidity.
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. You are clueless.
Anyone who had over $250,000 in the bank should have had to pay for insurance to cover any excess deposits. Otherwise, screw them. Taxpayers should not be on the hook for their mismanagement.
They did nothing wrong. This was a run the bank. Not a financial scandal. Pay attention before you start screaming "Crucify them!"
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. You are clueless.
In all honesty, I'm curious in their management and financial structure. The beginning of a financial disaster is now. It's unsettling to not know which bank to hold onto.
I don't use new banks.
This goes to show the essence of financial/risk management
@Matt Van Wie I concur with you. primarily because experts manage the majority of these strategies and loopholes better. By taking my coach's recommendations, I was able to scale from $35K to 65K throughout this crash.
@@joecaruso06 Coming from someone who has participated both proactively and passively. I completely concur that it is best to ask an expert for assistance as you learn at your own pace. For instance, I've been able to create a $262k portfolioo following - Yvonne Annette Lively guide. Financial security is obtained by careful saves & Invst.
@@maryalchester Mind me asking if she was recently featured with Tate on a Fin-up pod recently? Talking about Yvonne Annette Lively
Thank you for explaining this mess. You are one of the few networks that I trust.
have you done a CT scan lately to check if you're braindead? lmao
Tyt does great work
@@redcapitalist Have you any specific objections to their findings that you'd care to share?
SVB wasn't diversified enough among its customers and investments, leaving itself vulnerable to rising interest rates. Most of its loans were in the tech sector, while its investments were in long-term treasuries. BOTH of them are struggling against rising interest rates, which the bank didn't hedge against. Deregulation plus incompetent management are why this bank failed.
Thank you!!! Nobody brought this up and people assume this is another 2008 when it is not!
The thing about interest rates, they are lowered when the economy is slow which can cause layoffs and job losses to get people to spend less money. They are raised when there is less product and more demand, which raises prices, for instance if there is a fuel shortage, they raise the price of fuel, and that causes every product to cost more to transport and deliver, it causes inflation. A bank should be diverse enough to handle both situations and prepare for it. To be clear, when gas prices went up, it wasn't because we had a shortage of Fuel, it was OPEC that purposely cut back on the production of fuel, to cause the US to experience inflation, why? Because they wanted their Trump Puppet back in office so they could continue to everything they could to use his greed to cripple our country, tear it apart, and have full control of all of the oil producing countries in the world. So when the interest rates are going up, that is a good thing, it means our country is fighting to keep us out of inflation, and to keep our economy healthy.
@@jc478 I agree with
*most* of what you said but I think OPEC was price gouging - plain and simple. These oil companies do what ever they want to do no matter who the president is.
And I'm glad you mentioned the fact that they cut back on production on purpose. Most people think Biden had something to do with it but he didn't. Presidents don't control oil production.
They want to inspect banks, in particular smaller banks run by hedge funds because they use deposits like capital in their hedge fund. They win, and get rich, they lose nothing and walk away from it. The billion-dollar loss is a fraction of the bank's value, I suspect they were doing hedge fund things like Crypto hedge and Crypto just collapsed and then this happens in this tech/Crypto bank.
@@JoniDiMaggio Oh definitely there was price gouging, but I do believe they were raising it to increase inflation on the US as well. Biden's infrastructure threatens their way of life, and the idea of weaning off of it, is not something the big oil wants to do. They should be putting money into newer forms of energy, instead of trying to stop progress. Anyway, that is why so many of the oil countries are not wanting Biden around, and they made more money than ever.
Steps to follow for failing banks ( there is a precedent in a Scandinavian country):
1) Don’t bailout the bank
2) Put in jail all its executives
3) Nationalize the bank
4) Clean up the mess
5) Resell the bank to the public
6) Do not compensate current investors
You save taxpayers money 🤷♂️
In this case I don't think #2 really applies. It doesn't look like they didn't anything wrong, they just got caught in a rapidly changing bond market.
@@wheelhouse15 they had almost no diversity and they over leveraged the shit out of their deposit to loan percentages. Federal currency reserve banking. They essentially loaned out 100% of their deposits which used to be illegal before the deregulation of Dodd Frank.
@@wheelhouse15 they did a lot wrong my man otherwise they wouldn’t be the topic of tonight’s discussion. They didn’t loose the lottery. They played fast and loose in a game with rules
@@jeffreyhall76 I don't see how they played fast-and-lose when they were investing in US Treasury bonds (I'm not sure what they had in bills, notes and bond, etc). If anything, it was the completely opposite of fast-and-loose, they were actually cautious and got caught flat-footed when rates spiked.
As for banking reserves, even if they held 10% it wouldn't have been enough since they were hit by a huge run.
I think the major issue was that they didn't do proper market analysis and didn't properly identify the risk of rapid interest rate hikes. If they had, they should have sold their longer term bonds and gone with the short-term bills. This would have allowed them to turn over their investments much faster and allowed them to pace the rate increase more closely.
Yup. Iceland did it right. They took a short-term hit, but came back better.
I'll say it again for those in the back: "Investing" is just the rich man's word for "gambling."
That is why you will die poor.
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. You are clueless.
@@michaelgentile9580
*_That is why you will die poor._*
Hilarious, coming from someone defending a bank that just went stone broke due to investing LMAO.
Go ahead homie. Gamble your money away. But don't come crying for bailouts when the markets crash. If you're willing to accept the wins, you damn well better be prepared to accept the losses.
*_The most capitalized bank in the US holds 6.5% in reserves._*
If they hadn't lost half their depositor's money on a gamble that went south, they wouldn't need reserves, now would they? YOU are clueless.
They stopped a bankrun this time to save the economy and help out the customers not the investors. At least they seem to have learned from the 2008 collapse.
The customers are a lot of "businesses" with valuations in the millions and no cash flow. The "depositors" are really the cash for the zero-rate start-up funding by the VCs that were underwritten at this one industry fave bank because it had lax underwriting standards and gave out perks to the founders like favorable mortgage rates backed by future expected returns (used loosely, no cash flow needed). They then had to keep all their money in this bank to get the terms. It's not a particularly sympathetic story, but that's being obfuscated quite well.
NO ONE who deposited more than the maximum of $250,000 should receive an additional penny.
Thanks for explaining this in a responsible way.
Im a professional institutional trader, to say this bank did not make risky investments is incorrect. Banks entire business model revolves around managing interest rate risk, and the company willingly decided not to hedge this risk with interest rate swaps, this was a bet against the Fed hiking rates. Being a bank it is your JOB to among interest rate risk.
Also basic business practice is to sweep your excess cash into a MM since you know the limit is 250K AND you'll earn a better yield on excess cash, this was PURE NEGLIGENCE. by both depositors and the bank,.
As a professional, do you think depositors, that paid for private deposit insurance, for the balance over $250K, should be reimbursed by the feds for their premiums.
@@wadestanton they should be reimbursed by their private insurer obviously. Why should the state care?
@@Stewiehleba Why should the private insurer be forced to pay out if the feds are covering those that didn't value there deposits enough to insure their deposits.
I love the way you guys volley. You both are my newly favorite news commentators.
I have Watch coverage on this from multiple new sources. You are only the second one out of 6 to explain it well.
Who deregulated the banks.
Management and others got their bonus off the top.
Good f8ck the investors..most of all they can go to hell...
Show us on the bank where the investor touched you...
@@sal5604 Show us on the doll where the immigrant stole your job.
@@rubym357 Never said an immigrant stole my job did I..?
@@rubym357 best not to even acknowledge losers like Sal....just be glad You're not like him....hes got one lead poisoned brain cell..😂 people like him dont count...
@@shawnwilliam4653 Awww... Did I hurt your feels? I'm glad you don't like the investors though. Regular people who use apps like Robinhood and bought this stock, f-em. Pension funds like the one for the railroad workers who have boards the invest in stocks like this f-em too! According to you. Regular folks who might not know they were invested in this bank don't count either.
Nationalize all Banks, airlines, utilities and hospitals
I'm starting to feel that this will turn into 2008 Crisis 2.0 in no time.
I hope I'm wrong.
shut up
@@hamburgler227 yeah...shut up!!!! Who does he think he is???
@@thelonious1310 he's pretending like he's Nostradomus, speculating about economics which he surely knows zilch about.
What’s crazy people lose their money but yet our taxes insure them through federal taxes 🤷🏾♂️
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. No regulation in the world would have made one iota of difference. You are clueless.
The bank collapsed because it's a *bank,* and that's what banks do.
Every time a bank collapses, people run in circles, scream and shout, ya hey. Then they pass regulations. When no banks collapse for a while, people pat themselves on the back and say everything is fixed. Then another bank fails. This is capitalism.
the only bank that doesn't collapse is the sperm bank,
@@raymondleggs5508 It just goes a bit flaccid.
Capitalism is SO, SO, sustainable. Yeah capitalism!
Greed yay
All under Bidens administration.
@@joeyharper4976 wtf? are you talking about. This failure is mostly Traitor trumps fault. This was due to a bill your messiah cheesus passed under his nazi regime. duh!
@@TheapprehensiveTaoist "Everything that happens under Trump administration is on him and no one else".. Keep that same energy for Biden. This is HIS administration.
It’s honestly cringe when you people have a hissy fit over capitalism. It’s almost as cringe as blaming Jews for everything.
The fed takes care of the wealthy investors They will be helped even above the normal 250,000 but wait wealthy people hate socialism but not in a corperatly owned Oligarchy
There’s a reason there’s regulations. Don’t weaken them further, it only benefits the well-healed welfare queens.
that's racist
I disagree with bailing out billion dollar deposits of companies. If individuals have more than 250k in accounts they're left to burn. Happened in 2008. People lost their homes. But protect the precious businesses ??? Not even. Maybe a million people losing their jobs would force government to regulate banks. As it is NOTHING WILL CHANGE BECAUSE OF THIS. Flat out. There will be 0 regulations following this. Horrible unregulated bank practices will continue unabated.
I hope those that paid for private deposit insurance are reimbursed by the feds
Dot Com Bubble 2.0
I don't know enough about high finance to opine on whether bailouts in excess of $250k are warranted here. But I would like to know, what other rules exist only on paper that I am free to ignore with impunity?
Most of this is Trump's fault and 17 dummy Democrats voted with Republicans to rolled back on a bank regulation bill,look it up.. People do your research..
Cenk-, Anna, the REAL story here is trump ONLY DEREGULATED the SMALLER BANKS! Claiming it would FREE them to make greater profits, when in FACT it did just the OPPOSITE! Look, interest rates were overdue to go up for years, and if not for trump's deregulation, this would not have happened, period! Trump IS an IDIOT.
Privatise the profits, socialise the losses.
Rinse and repeat, capitalism rocks!
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. You are clueless.
@@michaelgentile9580 a small number of VCs caused a bank run, collapsing the bank, and then called for the government to bail out all the depositors.
Socialising the losses, after getting 0% loans (private profits).
I'm sorry this concept was too complicated for you to grasp.
On May 4, 2018 Trump and the GOP removed the pivotal regulations which caused the collapse of Silicon Valley Bank (SVB).
Video of Trump SURFACES Showing his TOTAL CULPABILITY
th-cam.com/video/3d1EYyrBDpw/w-d-xo.html
This is the result of Bidens money printing plain and simple.
You can't magic 25 Trillion dollars without tanking any economy.
This is 100% on Democrats, Start taking responsibility.
Money is a "Foogazi" or however you spell it and this is all a ploy to keep us commoners believing it has true value and keep the powerful in power. This has been figured out years ago and it will continue to happen until we break away.
Jet fuel cant melt steel beams
The elite in the government and politics pick winners and losers, is that the American way?
Yeah Powell never said ppl would lose their jobs within hours. Depression coming up. Better hit those groceries stores cash won't be worth the paper in a depression.
Seems like Biden has turned mass inflation into mass stagflation.
Best video explaining the svb meltdown.
GREED ....
Government bonds exposure is a giant risk, it’s basically exposure to interest rates. Any bank would hedge those exposures with interest rate swap, it’s rates trading 101. Somehow SVB sold those hedges. There is no way to understand that.
Tyt running cover for Biden admin
How? TYT criticizes the Biden administration all the time.
Duh! Where did the deregulation, that allowed this to happen, come from ?
@@garybarbati It came from BLM that stole taxpayers money
Ok so this was EXTREMELY cringe to watch. Ensure ALL deposits an UNLIMITED amount??? 😵💫🤦😵💫🤦 Allow me to mercilessly destroy just how ignorant that is economically. Let's say I decide to open a horrible bank with no profits at all called Trump Bank or Bernie Bank and I take all the Trump Supporters money or Bernie Bros money who joined the bank only to support Trump or Bernie and I pocket it and take off to China. Guess who has to pay for all of these depositors who should have performed research on their bank and moved money over 250k to other banks and investments... YOU. WHOEVER reading this YOU pay those customers because TYT thinks you should have to rescue every depositor. Does that sound like a good idea??? Banks are insured by OUR money up to 250k because 250k and under IS THE MIDDLE CLASS. Its like wowwwww freakin TYT really spun this around harder than an e-brake and a hard left turn! Yeesh. If I didnt win you over ask yourself this... Did you hear TYT mention even one time the name "JOSEPH GENTILE"? No? Me neither. He worked as a shotty executive for Lehman Brothers when they got greedy and failed and everyone got bailouts and then was hired at SVB where he did it all over again. 0 mention of him. TYT clearly either is completely ignorant of basic freshman level economics or someone there has some agenda with the banks. TYT should fight for student loan bailouts as hard as they fight for these bank bailouts. NO MORE BAILOUTS.
Lol it's always funny when TYT tries to reel their maniacal base in 👍
TYT: "EaT tHa rICh" (their boss is a millionaire 😆)
Also TYT: Hey guys let's not wish this on... it's actually not good when banks fail. We actually need the banks....
Yes, its called holding your own accountable, conservatives should try that sometime instead of letting their fascists essentially take charge.
No one said we want a crappy life. disliking elements or the totality of capitalism is theory. Practically is not that simple. common.
@@nikhtzatzi Your comment doesn't make a whole lot of sense to me...
If something is not PRACTICAL.. if you keep campaigning on it then it's literally THEATER. You can't be all "eAt tHa RiCh" then when the PRACTICAL CONSEQUENCES of that show up then you want to jump ship. No...go down with that ship man. Go all the way down with it.
This makes no sense
@@lVlemphizNeither it makes to me- The extremism of these sentences. But i get the point , things are never the same, To not highlight the uber oligarchy of the modern era leads to propable future enslavement. I get whats the purpose of the rage. The part i dont get is if anyone can give a practical way so that everytjing doesnt collapse first. It is logical that people here in TYT also ubderstand that and warn the radical viewers "dont be so fast to laugh on this"
The controlling elite are going to collapse economies around the world in order to bring in the Central Bank Digital Currency.
TYT would have reported on this in the past. Too bad they're controlled now.
And they have started WWIII on the side of Nazis this time.
@@rt-yr8ts 🥱
Abolish the Federal Reserve
Gambling, the entire world depends on it. What is the stock market but gambling? Gambling, while not specifically a sin is looked on as one. But the the good moral christians care, no, they are too concerned about other people's bedrooms They covet money, which they hope to make in a quick and easy way. 1 Timothy 6:10 declares that "the love of money is the root of all evil." Therefore, the enticement of gambling and playing the lottery comes under these texts.
This sounds like a story from the 1930s.
The great depression on repeat...Time to End The Fed.
Absolutely. Bank runs ended only when deposits became guaranteed. Now the guaranteed deposits are too small. So we guarantee bigger ones. This, however, does NOT guarantee that banks don't behave so stupidly that they tank the economy. This was a liquidity problem, bad but meh, can happen to anybody. What if it comes out that 90 BILLION in startup loans are a total loss?
@@richradtylr4 they will just cement themselves in deeper. No escaping the Fed at this point
There are 4 banks in the USA that service the crypto industry. Silverware, SVB, and Signature were 3 of them.
Coincidence?
Why are they busting their balls trying to save First Republic, and leaving the other 3 for dead?
Need one as a bridge for CBDC while basically forcing it to sell to a larger bank.
Could you at least do what the news is saying? This was trump's deregulation!! You keep talking about the corporate press but you're also borrowing the facts
Wtf is the fed? How is there no oversight? Is it the fourth branch of gov but without checks and balances?
It sounds like the biggest issues here are federal deregulations and the Fed continuing to raise interest rates with the intent to hurt the "everyman". Now that a major bank is affect the government turns urkel "did I do that??" face ass 🙄
The interest rates are the results of an overheated economy, which is caused by Biden spending more money than has ever existed in US history combined.
Trump wanted to spend 200 billion on a wall and you said that was too expensive.
Biden wants to spend 25 Trillion on nothing particular and you cheer him on.
@@SaintGerbilUK Who much did Trumper spend on family security?
@@meco4068 A few million like every president does. Which is less than the Billions Trump wanted to spend on the wall. Which is less than the Trillions Biden is spending on what can generously be called ESG.
Why they not saying the real reason behind it ,when it seems like it's because rich people invest their money in other countries Banks...😮
Will the CEO who sold his stocks before it collapsed be held accountable?? Take the profits he/she made n pay the depositors out then investors!!!
it's not their fault, what happened was the result of hiking interest rates 5 folds, the federal reserve raised interest rates to lower inflation, inflation was caused by the stimulus package that the democrats passed while republicans tried to stop them.
@@TeddyKrimsony Not their fault? Lol Right! Inflation was caused by these big corporations/businesses raising their prices to make Recording Breaking Profits and thinking we were happy to pay for it. Placing us back under their boot before we could reap the benefits of our tiny little raises/ and breath easier with a little extra cash in our pockets.
None of these companies needed to raise their rates!!! Not 1!!
Well stated, explained and factual journalism,. Everyone should watch this.
They bought the bonds like incompetent fools AFTER they lost hard investing in CRYPTO.
There was also bad judgement by the depositors with accounts over $250,000. The FDIC would've gotten to those depositors 2nd in line and they would have probably recovered most of their funds. Then bond holders and finally investors. These bailouts are making it possible for bondholders and investors to potentially recover some of their investment. Which is BS. Bad decisions should be punished otherwise its a positive feedback loop to keep making bad decisions.
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. No regulation in the world would have made one iota of difference. You are clueless.
maybe keep a closer eye on these high risk banks?
Could we please have basic banking services through USPS, who have remit to provide these if Congress would act? That would allow most Americans to have their everyday banking needs covered cheaply and without the risks that profit driven banks impose. Regulation could also safeguard transactional and payroll funds in any bank. There’s a downside to bailing out above $250K. Widespread failures would force govt to act and prevent more of these in the future. We need much simpler banking that is reliable and not destabilizing. Govt has learned little from 1929 or 2008.
USPS use to have basic banking services but Congress screwed them over. John Oliver covered the topic a year or so.
Banking 101.
Cenk and Anna are belaboring their pro-small capitalist worldview and it's kind of boring. C'mon, Michael Brooks would have said meh
Credit unions people. Better rates and better customer service.
If we see any Golden Parachutes like in 2008, we are bringing our pitchforks and torches.
You get live chat emojis…badges!
This is entirely SVBs fault and no one else’s. These guys were unhedged and make decisions that anyone in Finance 101 would know are totally idiotic.
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. No regulation in the world would have made one iota of difference. You are clueless.
We must return to the Gold Standard.
End the Fed.
No
Trump would make it a reality
@@thelonious1310 Trump can't even order his own Happy Meals.
@@murrygondwana7260 who needs that when he can be an alpha and eat MEAT!!!!
Not gold uranium and thorium.
Gold is useless. Energy is literally power.
Federal reserve created this scenario, they unnecessarily reduced the interest rates to zero during the pandemic, Silicon Valley Bank made a mistake by buying almost 0 interest bonds, they should’ve stayed in cash. Now the federal reserve is raising the interest rates too quickly the bonds that purchased two years ago are losing their value.
Trump would have saved us from this mess
They raised interest rates to counter rising inflation, which is normal procedure.
@@thelonious1310 Trump is the mess, we're cleaning up everything he touched.
@@recycled3654 hmm....
@@recycled3654You forget the history of the events. I am saying they reduced the interest to zero during pandemic, it was not needed. They also screwed up the housing market. Now they are raising the interest rates as if it was not zero just 1.5 years ago. You cannot change the parameters too quickly and expect that they are normal and wont have side effects.
Actually, they shut down all those banks and the top four banks actually saw a huge influx of money already
For everyone losing your shit on TYT, maybe consider looking at the effect big business and big banks affected you. I would bet that it’s a lot more than you realize and it’s your representatives’ faults.
We should have listened to Bernie Sanders
The CEO should be forced to go bankrupt over this
Agreed. The government is make ng SVB fire the big wigs, at least.
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. You are clueless.
This is what happens under deregulation
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. No regulation in the world would have made one iota of difference. You are clueless.
You guys were the first in the breach for new news media and no matter what’s happened it’s clear y’all have the most time doing this cheers what a great program 🎉🎉🎉
Perfect example of: "privatize the profit publicize the loss". This statement should be the anomaly not the basis for running a business or obscurely written into laws. It guarantees that the "risk takers" never loose a dime.
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. You are clueless.
banks are such a weird institution. Literally gambling with their customers money. if they win, they gain the profits for themselves. If they lose, the customer lost thier money. Insanity
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. You are clueless.
@@michaelgentile9580 lmao. Yes, because they're gambling with the other 93.5%
@@fetB This was a planned and executed take down of SVB. This was intentional.
I remember in the early 1990s Orange county in California went bankrupt. My husband lost his job. Orange county had invested it's money in stocks that were effected by interest rates. The county laid thousands of county employees.
Any bank that goes bankrupt should be covered for depositor losses but also converted into a non-profit credit union. Also, yes re-regulate them and require 5% cash or easily liquidated assets. The entire banking system is at risk of failure because the rising interest rates are reducing the value of bonds and therefore their investments are worthless.
❤❤😊😊❤❤❤❤❤❤❤❤❤00o❤❤000o😊
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. You are clueless.
Really bad take. Depositors and banks can buy excess insurance. There are also interbank programs like CDARS and MaxSafe to protect against loss over the FDIC limits. These business didn't have enough insurance to cover their asset and want someone else to take responsibility for their cost-savings risk.
The fin-Market;s have underperformed the U.S. economy as fear of inflation hammers the prices of stock;s and bonds. My portfoliio of $750k is down to $592k any recommendation;s to scale up my return;s during this crash will be highly appreciated.
Very big con and that is why i have always maintained that people should never have their money in the bank! Get a financial advisor and even make so much more while saving!
@@Isaacmeide Based on personal experience working with an investment advisor, I currently have $385k in a well-diversified portfolio that has experienced exponential growth. It's not only about having money to invest in stocks, but you also need to be knowledgeable, persistent, and have strong hands to back it up.
@@kevsmills wow ,that’s stirring! Do you mind connecting me to your advisor please. I desperately need one to diversified my portfolio, I am so done with banks!
@@andreasleonard0 Isabel Linda Dueri” is my portfolio-coach, I found her on Bloomberg where she was featured, I looked up her name on the internet. Fortunately I came across her site and reached out to her, you can verify her yoursel
@@kevsmills Thank you for this amazing tip. I just looked the name up, wrote her explaining my financial market goals and scheduled a call
Just before this happened they gave themselves big bonuses
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. No regulation in the world would have made one iota of difference. You are clueless.
The best part is "it's not a bailout" even though every business will be made whole. This is just telling me the banks will survive regardless how bad they operate.
Imagine if you ran a business and you could steal your customers money without any consequences. Only to have the government pay back the people you stole from.
@@jobnieloliva5358 Well, if I could, I'd definitely have had my business banking in SVB.
It’s a bail out. You’re just playing the same games bush and the Republicans played in the early 2000s about torture.
@@Eric-oi5yj I thought I made that clear in a facetious kind of way.
This one will be liquidated because America needs it.
I still blame the FEDs for this, because in the end they benefit by either buying off the failed banks cheaper or something. The fed can print credit as long as someone will borrow it into existence, but they cannot print product (or production).
Every day we have a new problem. It's the new normal. At first we thought it was a crisis, now we know it's a new normal and we have to adapt. this year will be a year of severe economic pain all over the nation.. what steps can we take to generate more income during quantitative adjustment?I can't afford my hard-earned $180,000 savings to turn to dust
The idea of financial adviser aid may seem controversial to some, but according to a recent Investopedia survey, demand for financial advisors has increased by over 41.8% since the pandemic, and based on personal experience, I can say with certainty that their skill sets are top-notch. From a sluggish $385K that lacked growth stocks, I raised almost $500k in 18 months.
@@BenjaminMcLeod815 please who is the F/A guiding you
@@anthonymilner1088 Having an investment advisor is the best way to go. Based on a direct encounter with a CFP named Corinne Cecilia Heaney, I can say with certainty that their skills are excellent. She helped raise almost $500,000 in 18 months from an initially stagnant portfolio of $380,000.
@@BenjaminMcLeod815 Thanks for sharing, I just looked her up online and I would say she really does have an impressive background on investing.
FDIC is $250,000. People also need to diversify their banks. Play your money smart.
or buy private deposit insurance
Bankers in charge expected that interest rates would stay at historic lows forever. They didn't adjust along the year while interest rates has been increasing. They should be in jail.
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. You are clueless.
the bank paid out bonuses friday , just like 2008
Good balanced financial report. Thanks
Who did the deregulation
Bernie Sanders
@@woke_malecat NOPE! 😂 Republicans...mainly Dump.
Trump, All of GOP and Corporate Democrats. In May 2018, Trump Signed into Law the Economic Growth, Regulatory Relief and Consumer Protection Act through Bipartisan bargain where All Republicans and 17 Democrats voted for that Bill. A Bill that loosened or got rid of some key banking regulations. It rolled back rules that prevented banks that take customer deposits from making risky bets on the financial markets, mandate the size of banks’ capital reserves or how much cash they have on hand and require banks to perform routine “stress tests” that simulate a crisis to see if they can remain solvent. Now that Bill is what's backfired.
A Similar example to this would be the Texas Power Grid which was deregulated and is controlled by Electric Reliability Council of Texas which trades on supply and demand hence a competitive price market. In Feb 2021 Texas faced record low temperatures the state’s electric grid operator lost control of power supply leaving millions without access to electricity. So what were these deregulations that led to that? It’s the decision not to require equipment upgrades to better withstand extreme winter temperatures and the lack of diversity choice to operate thus mostly isolated from other grids in the U.S. hence no back-up systems which left Texas power system unprepared for the winter crisis. But of course the GOP was out there quoting and blaming ‘wokeness and green energy’ to rile up their ignorant base yet natural gas, nuclear and coal plants are the ones that provide & supply most of the state’s energy which heavily struggled to operate during the storm. Similar to Silicon Valley bank, The Laws Passed allowed the Banking System to Avoid having Capital on hand and the liquidity to deal with a situation like this. Instead of taking any regulatory action, they ended up getting guidelines that were unenforceable and largely ignored precautions in the rush for profits. Clearly we need to change our regulatory focus to protect the people, not profits.
*LETS REMEMBER - THERE IS NO REASON FOR INTEREST RATES TO BE HIGH* this is NOT a consumer-driven inflation - this is a SUPPLY SHORTAGE inflation + Price gouging
So Biden spending more money than has ever existed in the entire history of the US doesn't cause inflation?
@@SaintGerbilUK AND THERE YOU GO demonstrating a 3rd grade understanding of economics - NO IT DOES NOT, what does contribute to inflation is NOT taxing that money back in when it makes its way to the TOP 1%.
*GOVERNMENTS SPENDING MONEY DOES NOT CAUSE INFLATION* get that right wing bullsh!t out of your head - it stimulates the economy and creates jobs, what causes inflation is LEAVING that money in the system when it makes its way to the TOP 1%
"WHERE IS THE MONEY NOW...?" is the question you need to ask, and the answer is ALWAYS in the pockets of the top 1%
You are confusing *VELOCITY* of money with *QUANTITY* of money - and this is how the right wing brainwash badly educated people and this is WHY Reagan defunded education spending by nearly 50% to breed stupId people who say thigs like "So Biden spending more money than has ever existed in the entire history of the US doesn't cause inflation?"
Also he has not spent more money than bla bla bla what a stup!d statement.
@@SaintGerbilUK hahahahahaha, 🤡
@@piccalillipit9211 So what is causing the inflation?
Its just a coincidence that unpreceidented inflation lines up with unpreceidented government spending.
You can't spend your way out of having spent too much.
Find me any president who has spent as much as Biden?
The US Budget used to be in Billions and under Trump it was 1-2 Trillion now under Biden its 20-30 Trillion.
@Kevin Michael True the stimulus packages are some of the cause of inflation.
However progressives were calling him hitler for not giving more or more often. I think we can agree that it was a pandemic and while the best moves were not always taken they were the best we had at the time?
The question I have is why did Biden do another one (or was it two)?
He was even talking about another one after he declared the pandemic over.
One of your very best discussions! Excellent reporting!!
No-one addressing the elephant in the room, which is that the reason for most of the problems in the economy is a lack of productive expansion. Simply put this is using MONEY to make (more) useful THINGS.
Anna, awesome hair today. Cenk, same fabulous eyebrows, Rock on!
BANKS SHOULDN'T INVEST YOUR MONEY
Bring back Glass Steagall.
The depositors tried to withdraw $43 BILLION DOLLARS (that's 25% of total assets) in a single day. The most capitalized bank in the US holds 6.5% in reserves. No regulation in the world would have made one iota of difference. You are clueless.
If they don't invest it how do they pay interest? Where do you get a car loan? DUH!
It is NOT OUR PROBLEM if YOUR investiment turns to shit.
The bankers should lose their jobs. The bank should go under. They could have invested in shorter term securities and not gotten pinned to heavy losses due to rising interest rates. It's clear that capital requirements are not high enough. The depositors for up to 250k should be protected. Every other depositor -nope. Etsy can pound sand. They can file lawsuits against the goons who ran the bank. If this was joe everyman, the bank would have bent him over and rammed it up his behind. It's time for an even playing field. Also, the fed needs to stop raising interest rates. Inflation is due to shortages and price gouging, not loose money supply.
Glad I found you two! Very intelligent dialog.
My question is how did Peter Thiel get ALL his money out on day one???
Bank lobbies for relaxing of regulations that would protect them from collapsing and in turn collapses. 😂😂😂😂😂
Why does the scorpion sting the frog?
1:08 True but the ceo of the failed bank sold almost 4million $ of there SVB stock before anyone knew what was about to happen exactly 24 before the news came out actually.. he should be fined for 90% of the money he got selling the stock.
That may very well be illegal. Hopefully he goes to jail along with the Chief Risk Officer and CFO.
@@CL-gq3no Big facts!...
The bankers already grabbed their bonuses and split.
Grabbed their hundreds of millions and ran off. I hope they go after them.