Quote:
Originally Posted by bagekko
All the top 100 banks are so leveraged everyone of them would fail if there was even a minor run on deposits. The banking rules have become such a joke they take your money and do nothing but stupid & risky things with it. Profits for shareholder returns and employee comp is their whole focus not the customers. SVB & Sig were just really worse at it than the others, the unrealized losses on the books was massive for their size despite posting profits every quarter.
https://www.bankregdata.com//allHMmet.asp?met=LEV |
Isn’t that the way banks are designed to look? Deposits are liabilities so they will always be leveraged. While I agree with regulations over riskiness of investments, minimum capital and liquidity, among other metrics, banks are supposed to use deposits to make loans and other investments.otherwise they would be nothing more than hig vaults we pay to store money in.