Re:Yellen says government will help SVB depositors but rules...
by JumpCrisscross on Sunday March 12, 2023 @11:58AM
(#35121683)
> can’t people buy private insurance for their deposits above the $250k threshold?
Yes, via credit default swaps, though nobody does this because automated sweeping takes you to $3mm.
Beyond that, having back-up accounts money can be pulled to if things look fishy (it was suspicious to me Wednesday night and obvious Thursday, when the CEO basically said stay with us because it would be nice) and, if you have more than a year’s runway, an actual treasury function (part time is fine) covers most of the risk.
Yes, via credit default swaps, though nobody does this because automated sweeping takes you to $3mm.
Beyond that, having back-up accounts money can be pulled to if things look fishy (it was suspicious to me Wednesday night and obvious Thursday, when the CEO basically said stay with us because it would be nice) and, if you have more than a year’s runway, an actual treasury function (part time is fine) covers most of the risk.