2 ms·
>I feel like a very likely outcome on Monday is that the FDIC announces a buyer, SVB depositors realize they're going to be made whole, and all the panic subsid
by ramesh31 4y ago
>I feel like a very likely outcome on Monday is that the FDIC announces a buyer, SVB depositors realize they're going to be made whole, and all the panic subsides.
Everyone saying "they will be made whole" is completely missing the fact that money has a time value. There's nothing "made whole" about getting access to your money weeks or months from now.
- colechristensen 4y agoA likely outcome is everyone is going to be made whole on Monday. The feds will find a buyer to take on the deposit accounts and people are going to wake up consumers of Goldman or whomever instead of SVB. Look at history and for example what happened to WaMu. It was literally one day.
- lordnacho 4y agoI agree this seems very likely. A bunch of people will be having interesting phone calls this weekend, but it's the weekend and it's pretty useful. Then again last time I thought this I had a contact text me joking he was preparing to learn Korean because his bank was probably going to get bought by Koreans. Seemed like it was just a matter of time to wait until Monday to see what the higher ups had decided. You can guess where this contact was working. Until that Monday.
- jgalt212 4y ago> missing the fact that money has a time value You mean like Roku, who was keeping $500MM at a depository institution instead of in T-bills or a money market fund.