Bank run on Silicon Valley Bank

It was specific at Silvergate too. Unfortunately there are far too many optimists out there managing money who chose not to play it safe. Thus, despite being idiosyncratic, it can still be a systemic problem

Why these companies didn’t issue shares at the outrageous/nosebleed valuations they were at a year ago? Truly a mystery

Re: Bank run on Silicon Valley Bank

#7

Post by [deleted] » Thu, Mar 09, 2023, 9:13 PM UTC

carom wrote: post #4

Specific issues with SVB, not systemic. [1] 1. https://techcrunch.com/2023/03/09/silicon-valley-bank-firms-...

[deleted]

Re: Bank run on Silicon Valley Bank

#8

Post by adam_arthur » Thu, Mar 09, 2023, 9:15 PM UTC

colesantiago wrote: post #2

Is this an incoming tech crash?

More likely a credit event affecting low quality debt/companies. Usually these trigger broader recessions

Will be hard to raise for startups without compelling profitability metrics, though

Re: Bank run on Silicon Valley Bank

#9

Post by thedangler » Thu, Mar 09, 2023, 9:16 PM UTC

krasin wrote: post #5

dgrin91 wrote: post #3

First silvergate, now SVB. Is this going to be a wave across the banks?

Today, Credit Suisse delayed its 2022 report after the last minute call from SEC: https://www.cnbc.com/2023/03/09/credit-suisse-to-delay-its-2... I don't know what to make of it.

It's probably no related to swaps that expired..... Better pick themselves up by their bootstraps and quit the avocado toast.

Re: Bank run on Silicon Valley Bank

#10

Post by marcosdumay » Thu, Mar 09, 2023, 9:17 PM UTC

carom wrote: post #4

Specific issues with SVB, not systemic. [1] 1. https://techcrunch.com/2023/03/09/silicon-valley-bank-firms-...

That's the second not systemic failure that makes the HN frontpage today.