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Even just two or three accounts at different banks would be more prudent and would have prevented the run on SVB that ultimately killed it.
by krupan 4y ago
Even just two or three accounts at different banks would be more prudent and would have prevented the run on SVB that ultimately killed it.
- MBCook 4y agoI think a lot of companies did (Roku for example did). But when basically the entire sector you focus on decides to run, you’re in deep trouble. They just weren’t diversified enough.
- gretch 4y agoBut why is this a desired end state of the world? Does anyone think to themselves, gee, I'm glad Roku, the company that made my TV, is financially prudent enough to open 3 separate bank accounts. TV companies should compete on making the best TV. Not playing some sort of weird financial hedging game on the risk of a bank run.
- krupan 4y agoSorry, but shit happens and so yes, we all need to learn and exercise some financial prudence. "Don't put all your eggs in one basket," is not a "weird financial hedging game," it's common sense.