Cash deposits in banks are supposed to be “low risk, low reward”, but at First Republic they’ve suddenly become “more risk, low reward”. Individuals will decide

Cash deposits in banks are supposed to be “low risk, low reward”, but at First Republic they’ve suddenly become “more risk, low reward”. Individuals will decide for themselves if this causes their portfolio to be unbalanced (and apparently for many of them the answer is “yes my funds in First Republic are too risky, I must rebalance.”) Large banks have different portfolios and may have funds available to assign to these (now riskier) investments.