- Staff at Federal Reserve briefed Fed board about interest rate risk at SVB and other banks
- SVB had inadequate risk management, supervisors found deficiencies in its liquidity risk management near the end of 2021
- It appeared contagion from SVB could be far-reaching and damage broader banking system
- We are prepared to use all of our tools for any size institution as needed to keep system safe
- Recent actions demonstrate we are committed to ensuring all deposits are safe
That's interesting that Fed staff was specifically naming SVB as a risk in February, before the rout started. You have to wonder if word got out.
