- Aug 27, 2022
- Reaction score
- Southern CA
SVB had a lot of venture capitalists and a lot of start up companies - earlier in the week announced they needed to raise $2.25 billion to shore up their balance sheet. That started the avalanche of of venture capitalists and startup companies pulling their accounts.That California bank going down is not a good omen. I saw a couple of articles about Wells Fargo and BOA today that shows it may be getting worse. SVB was heavily invested in government securities and they were losing money at a crazy rate. Supposedly, they had a very large number of people that had millions in the bank and the FDIC will only pay 250,000.
Not good at all. This admin could care less about our economy. They only care about their own $.