Why First Republic failed, and what it means for the rest of the banking industry

  • 📰 BusinessInsider
  • ⏱ Reading Time:
  • 22 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 12%
  • Publisher: 51%

Malaysia News News

Insider tells the global tech, finance, markets, media, healthcare, and strategy stories you want to know.

First Republic's failure and rescue Monday is a jarring reminder that US banks continue to navigate a crisis nearly two months after Silicon Valley Bank collapsed.

But despite a speedy takeover by JPMorgan, First Republic's failure shows the banking crisis is far from over.at a cost of about $13 billion to the regulator. The lender suffered a flight of deposits in the first quarter of 2023, leaving it scrambling to address a liquidity crunch.that it would acquire $92 billion of First Republic deposits. Its core customer base was very wealthy clients who rarely defaulted on loans.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 729. in MY

Malaysia Malaysia Latest News, Malaysia Malaysia Headlines