The story of SVB makes me think of a late 1800s story…
About the richest banker in California.
He famously stopped runs on his bank multiple times…
About the richest banker in California.
He famously stopped runs on his bank multiple times…
Isaias Hellman was a Jewish immigrant who started a small bank called Farmers & Merchants.
One day while he was on vacation in Europe, his bank president closed the bank to customers…
It caused a panic.
On learning this he rushed home.
He showed up surrounded by guards…
One day while he was on vacation in Europe, his bank president closed the bank to customers…
It caused a panic.
On learning this he rushed home.
He showed up surrounded by guards…
And a chariot full of gold bars…
He walked through the middle of the nervous crowd waiting to make withdrawals.
With people watching he slowly stacked gold bars on the counter of the bank.
People now knew their money was safe…and the crowd calmed down.
He walked through the middle of the nervous crowd waiting to make withdrawals.
With people watching he slowly stacked gold bars on the counter of the bank.
People now knew their money was safe…and the crowd calmed down.
This scene was repeated three times throughout his career…
And each time a crisis started, he repeated the same action.
He showed up in the bank with a cart full of gold bars…and stopped the panic.
What can we learn from this?
And each time a crisis started, he repeated the same action.
He showed up in the bank with a cart full of gold bars…and stopped the panic.
What can we learn from this?
Given how big banks have gotten, the Gov’t is the only one that can step in and be the modern day Isaias Hellman.
America is an amazing country because we can trust our institutions.
(In many countries that isn’t the case…)
America is an amazing country because we can trust our institutions.
(In many countries that isn’t the case…)
It’s the governments job to do whatever it takes for our people to maintain trust in our institutions.
This TRUST is what makes our world go round.
It allows us to feel safe at home…
This TRUST is what makes our world go round.
It allows us to feel safe at home…
And feel confident in our kids futures,and engage in daily practices like using credit cards, getting loans (for homes & cars).
If you care about trust in society, we should all come together and root for a solution here that protects our fellow citizens’ money.
If you care about trust in society, we should all come together and root for a solution here that protects our fellow citizens’ money.
I don’t want to live in a society where I cannot trust a bank with my hard earned money.
And I don’t think you do either…
And I don’t think you do either…
If you’d like to read the story of Isais Hellman, this is an incredible book.
As a CA resident I found it particularly hard special
As a CA resident I found it particularly hard special
Here are a few posts I’ve seen with similar opinions:
Also I hate to say it…
But if I were a foreign super power that wanted to sow distrust in Capitalism and Democracy…I would have thousands of twitter accts all yelling “don’t bail out the rich!” right now…
It’s the perfect recipe for foreign interference...
Don’t fall for it
But if I were a foreign super power that wanted to sow distrust in Capitalism and Democracy…I would have thousands of twitter accts all yelling “don’t bail out the rich!” right now…
It’s the perfect recipe for foreign interference...
Don’t fall for it
Governor of Utah has a good explanation
I’m going to do a write up about Isais Hellman this week, and his story of building one of the largest banks in the US
You can signup here to read about it
Sievakozinsky.com
You can signup here to read about it
Sievakozinsky.com
I know plenty of business owners like Lindsey here.
I’m not suggesting you bail out the bank. Forget the bank shareholders.
Govt needs to protect the cash savings if small business owners that employ millions in this country like Lindsey
I’m not suggesting you bail out the bank. Forget the bank shareholders.
Govt needs to protect the cash savings if small business owners that employ millions in this country like Lindsey
I’m incredibly confident in the US system.
We make mistakes all the time, that’s normal.
The Govt will rescue the cash balances people had in these accounts.
I’m certain if it.
We make mistakes all the time, that’s normal.
The Govt will rescue the cash balances people had in these accounts.
I’m certain if it.
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