Everything I've read so far says the recent collapse of Silicon Valley Bank (SVB) doesn't pose systemic risks to the entire financial system.
To be honest, I kind of agree with that SVB failure has very limited financial contagion based on the fact that the bank serves mostly VC, startup companies and high-net-worth individuals.
That being said I cannot help but wonder if there is something that we're not seeing or missing? I mean the SVB literally collapsed within 48 hours and no one saw it coming. (Maybe some but most average individual investors like us did not.) When I said “we”, I meant we as in average Joe individual investors who don't have the knowledge to see the early warning signs.
We don't know what we don't know?
What if there are things brewing in the system that we're not aware of?
Were there obvious early warning signs in 2008 GFC or did it caught most of the investors by surprise like SVB did?
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