Announcing our new "CLUBS" section where you can join or create a Rivian club or group! You can use this new feature to conveniently plan and discuss local events, gatherings or other club/group related topics.
So we encourage you to join (or start) special-interest and regional-based Rivian clubs at: https://www.rivianforums.com/forum/group-categories/clubs-groups.1/
what adverse risk? svb is a bank just like any bank such as bank of america where you just store you money for say payroll. they have tons of accounts for this exact reason for many tech companies which is why they are so big now. they support all these tech startups and just wondering where they stored their money is all.under RJ's pillow.
Seriously, it's a publicly traded company. If their asset position was at adverse risk, they would have to disclose it. Can't hide shite like that.
I get that, but I'm referring this this line right here ($12 billion), their biggest asset - a huge pile of 'cash'.what adverse risk? svb is a bank just like any bank such as bank of america where you just store you money for say payroll. they have tons of accounts for this exact reason for many tech companies which is why they are so big now. they support all these tech startups and just wondering where they stored their money is all.
im sure its not svb as we would have heard it by now but just as a semi joke wondering where its at.
The Fed has stepped up to protect depositors. Their money should be available this morning.The bank is still mostly solvent and even uninsured deposits see the majority of their money back. Let's say they took a 10% bath on their long-term equities, and and all shareholder value was wiped out first, I bet they will see most of not nearly all their money back post liquidation.
Now I hope they *did* have money there. Nothing like a 100% guarantee on your funds exists in banks that haven't gone tits-up yet.The Fed has stepped up to protect depositors. Their money should be available this morning.
The Fed has stepped up to protect depositors. Their money should be available this morning.
Mark Cuban said he had millions in there for CostPlusDrugs.com. He spent the weekend creating new bank accounts to make sure his employees got paid.
Of course yesterday another bank went under and a 3rd is in bad shape. I don’t think this is a contagion but it also depends on depositors not panicking. There is also a chance this could lead to Powell not raising interest rates any further. .
PART of the problem is the rollback of Frank/Dodd under the last administration. But the bigger issue, IMO, is that we’ve totally ditched Glass Stegal. We will continue to have calamity after calamity until we once again separate commercial and investment banking.As folks have probably seen, the depositors will be made whole, so they won't lose, including Rivian. Investors, on the other hand, whether bond or stock holders are finished.
There is still the question of moral hazard, bailing out banks like this, but perhaps the Fed has it right. They'll backstop the depositors, but ultimately make all banks pay through the FDIC insurance fund, and future increased premiums. Where there's a fire, first thing is to put it out.
But it does seem to be a disappointing lack of oversight. Odd, that the office of the comptroller could not have anticipated this situation. But they are probably chronically understaffed and overworked. Interesting that China has reduced their issues with these situations in recent years with much tighter oversight of their banking sector.
And sad that it seems to mean the Fed is effectively adding even more liquidity into an already overheated economy.