The other thread was wild and the conclusions in this memo disagree with many of the assertions that commenters have been throwing around–accusing depositors of

The other thread was wild and the conclusions in this memo disagree with many of the assertions that commenters have been throwing around–accusing depositors of recklessly banking at SVB to chase higher yields and accusing SVB of playing fast and loose with risky investments. JPM says neither of these were the case: > “At the end of 2022, SIVB only offered 0.60% more on deposits than its peers as compensation for the risks illustrated below; in 2021 this premium was 0.04%.” > “The irony of SIVB is that most banks have historically failed due to credit risk issues. This is the first major one I recall where the primary issue was a duration mismatch between high quality assets and deposit liabilities.”