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15 results for “bank runs”
Concept4 mentions across episodes
bank runs
...collapse. So some people say, well, interest rates went up, and that led to paper losses on the bank's bond holdings. And so people got nervous and started pulling their money. And then other people say, well, people started pulling their money even
10:22 / 11:32
from transcript10:22 – 11:32
...but it's still getting shot in the market. And that's because the government has still not given people assurance that every deposit is safe. My overarching point is we need to get everyone calm. It's a bit like there were runs on mutual funds. I don
24:32 / 25:51
from transcript24:32 – 25:51
...Bank and kind of First Republic is some of these large venture capital companies, calling there hundreds of them, maybe a thousand, told their constituent clients that they invested in, who all banked to Silicon Valley and First Republic, the banks a
52:26 / 53:44
from transcript52:26 – 53:44
...system to prevent excess leverage and runs. And in our system in 'seven, this is a very important thing to remember, is that in our system in 'seven, you had a banking system which obviously did not have enough capital to withstand a terrible recessi
11:55 / 13:10
from transcript11:55 – 13:10
...Bank. So the other thing that happened other than the expanded deposit insurance was the creation of a new Fed Lending facility, another acronym, the BTFP. How big a deal was that one? That one was weird. All banks have the ability to access the disc
24:00 / 25:00
from transcript24:00 – 25:00
...of England is a very old central bank and, had been functioning well. JPMorgan actually had to personally step in, in the crisis, and it it was deemed that there should be a mechanism for the the government to be able to, either wind down, provide li
23:57 / 25:03
from transcript23:57 – 25:03
...Mhmm. And the regulators weren't ready for it. The whole problem would have been solved irrespective of the asset liability mismatch if the Fed had simply opened the discount window Mhmm. Wide enough Mhmm. Early enough to stop the run. They actually
3:00 / 4:03
from transcript3:00 – 4:03
...index, and we'd get blasted on our valuation, which is fine. It always you know, valuations are short term. It all came ripping back after that. So one of the issues that came up during the, 2023 banking drama, I guess, is the discount window and ban
42:45 / 43:49
from transcript42:45 – 43:49
...banks should lend freely against good collateral, and then there would be no problems. So are we done here? Two hundred years ago, we should have had this figured out. Yeah. Financial crises have this classic tragic thing. They're crises of beliefs i
5:13 / 6:33
from transcript5:13 – 6:33
...that, like, ended up getting into trouble. It was Buhl Bank down in Texas. It's a weird bank. Yeah. It's a very weird bank. But, anyway, regulators trying to get banks to use the discount window more, feel more comfortable with it. How do you feel ab
43:28 / 44:31
from transcript43:28 – 44:31
...banks. That's Signature and Silicon Valley Bank. They have an explicit guarantee of the US government. Then there's JPMorgan, there's Citi, there's BofA, maybe Wells Fargo, if you will, that are systemically important institutions because they've got
24:54 / 26:30
from transcript24:54 – 26:30
...are in bad shape, that's very hard to do. I mean, since we're talking sort of hypothetical crisis scenarios, one of the things we sometimes hear from people is because the US government is very polarized at the moment, maybe some people would say fee
17:59 / 19:03
from transcript17:59 – 19:03
...bank risk management practices. But this stuff is kind of like actually hard to pin down how much of each. And so he's he's big this is like big concern. I suspect money market conditions are basically signaling that things have tightened up quite a
22:26 / 23:33
from transcript22:26 – 23:33
...on paper is, solvent. You know, it has enough assets, but if everyone wants their funds at the same time, there's not enough liquidity. Right. And that liquidity crunch causes a huge amount of money. And to show how very important this is and what, P
26:54 / 28:00
from transcript26:54 – 28:00
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