What Happened to the Cash at SVB?

The video discusses the dynamics of bank failures, highlighting that most depositors are rescued. It explains how banks have increased cash reserves due to regulatory changes post-2008 crisis and government interventions during COVID-19. The video also examines loan-deposit ratios and how regulations affect bank liquidity. It contrasts typical bank investment strategies with those of Silvergate and Silicon Valley Bank, emphasizing the risks of investing heavily in bonds held to maturity.

In what way did Silicon Valley Bank differ from other banks in terms of investment strategy?

What was identified as the biggest problem for Silicon Valley Bank?