[JumpCrisscross]

> SVB had 170B (random estimate) in uninsured deposits

$56bn [1]. So about 23% of the emergency insured deposits were held by 10 accounts.

If we stuck to the law, that would have been $2.5mm (0.005%). So 10 accounts got a 5,200x courtesy boost in their backing by the full faith and credit by the United States.

[1] https://www.bloomberg.com/news/articles/2023-03-27/first-cit...

[nr378]

$56bn of deposits at point of sale to First Citizens. It had $119bn of deposits at the point the FDIC took over as receiver and then subsequently guaranteed all deposits [1].

[1] https://www.fdic.gov/news/press-releases/2023/pr23023.html

[JumpCrisscross]

This is correct. Cut my numbers in half.

[rcme]

Hmm this lists SVB's total assets at 209B: https://www.spglobal.com/marketintelligence/en/news-insights...

[JumpCrisscross]

As of 31 December 2022. The FDIC didn't bail out deposits that fled before receivership.

[rcme]

Good point, although this is also included in your link:

> This leaves about $90 billion in securities and other SVB assets in the hands of the FDIC, and an estimated cost of the failure to the Deposit Insurance Fund of about $20 billion.

So the real number is 50 + 90 = 140.

[JumpCrisscross]

> the real number is 50 + 90 = 140

This doesn’t make sense. You’re adding deposits (liabilities) to assets. $56bn deposits doesn’t mean $56bn of cash in a vault, it means $56bn owed to depositors.

[rcme]

It also doesn't make sense that SVB would need a bailout if they had 50B in liabilities and 90B in assets.

[JumpCrisscross]

> doesn't make sense that SVB would need a bailout if they had 50B in liabilities and 90B in assets

Deposits aren’t all SVB’s liabilities, though they were most of them. Their balance sheet changed between failure and disposition. And the FDIC is giving the acquirer some guarantees on the assets, which are being acquired for substantially less than $90bn.

[vkou]

A lot more than 10 accounts got that boost, because this prevented panic and contagion.

[JumpCrisscross]

> lot more than 10 accounts got that boost, because this prevented panic and contagion

100% agree. This is the first time, however, we’ve been able to quantify where the direct benefit went.