[brookst]

35 year old dies BASE jumping.

“The same exact thing could happen to grandma!”

Yes, it could, but it’s not especially meaningful to say that the same thing that happened to X could happen to Y if Y were tbe same as X.

Seriously, read Matt Levine’s stuff about SVB. It was a different bank with different customers, different Fed regulations, different depositors, and a unique asset portfolio problem.

[SilasX]

Great, let’s pick up that metaphor.

35 year old dies BASE jumping. 34 year old BASE jumper says, “yeah he was taking on too much risk — that’s way too old to be BASE jumping.”

56% of assets in long term fixed rate loans is fatal. 26% is also fatal. The latter is not in a position to criticize the former’s excessive risk taking. A 5.6% hole in your balance sheet (20% loss on 28%) is still very bad for an institution that needs to satisfy demand deposits.

[bagels]

The different customers is probably the most important difference really, because it'd be harder to cause a run vs the VCs telling their portfolio to get money out en masse on the same day.