[LapsangGuzzler]

SVB also chose not to prioritize hiring a risk manager for months leading up to their collapse, which is just pure stupidity. Anyone worth their salt would've pointed out that they were at risk due to their investment strategy and homogeneous customer base.

We're seeing old lessons from the 80's being retaught in the banking world.

Never put all of your cash in one bank. Keep your debt and your liquidity held in separate banks because if you don't and your bank goes under, your bank debt is written off against your balance when the bank liquidates.

The hyper-connected world we've created prioritizes efficiency and optimization at the expense of operational redundancy, which leads to people getting caught doing stupid things like putting all of their money into one business bank that had no visibility into their own risk profile.

[htss2013]

Maybe they didn't "chose" to not hire one. Maybe every competent risk manager they wanted to hire wanted nothing to do with SVB because a competent risk manager would have been able to foresee what happened.

[rodgerd]

> SVB also chose not to prioritize hiring a risk manager for months leading up to their collapse

Closer to a year, I believe. On the back of lobbying for exemptions from Basel III adequacy requirements.