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A comment on What does Silicon Valley Bank’s collapse mean for the financial system?. Parent comment

Re:What does Silicon Valley Bank’s collapse mean for the fin... by PeterisP on Saturday March 11, 2023 @03:33AM (#35106577)
Unwinding the position in early 2022 would mean acknowledging and executing a huge loss back then. Not unwinding the position means taking a gamble that perhaps it all will work out or perhaps you'll go insolvent. Apparently they chose the latter, and perhaps that's related with the CRO quitting if they disagreed with that choice.
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Re:What does Silicon Valley Bank’s collapse mean for the fin... by pgwhalen on Saturday March 11, 2023 @03:01PM (#35112075)
Right, risk management is often about taking a huge loss, so that it doesn’t become an existential one. Clearly risk management was poor here.

I only took exception to the idea that they “tried to unwind the position,” which is clearly untrue. There would be willing buyers at the right price.

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