Re:How deep is the rot in America’s banking industry?
by alistairSH on Thursday March 16, 2023 @05:08PM
(#35188657)
1. Their reputation. How much less likely is it that a board of directors would think twice before hiring them to be a steward of shareholders' assets?
One member of the SVB c-suite was the CFO fr Lehman in the run up to that catastrophe. So, BOD don’t appear to care. They keep on hiring each other, making massive mistakes, but walking away with $$$$ in bonus money.
Re:How deep is the rot in America’s banking industry?
by DubiousPusher on Thursday March 16, 2023 @05:52PM
(#35189266)
I probably shouldn't have used the word singularly. I think reputation and shame matter to these people to some extent. But as I indicated in my comment, I think this outcome dampens the consequences for those incentives as well.
1. Their reputation. How much less likely is it that a board of directors would think twice before hiring them to be a steward of shareholders' assets?
2. Their egos. How much less likely is it that people will be willing to invest time delivering projects whose value can be wiped out by poor risk management in the same way that SVBs has?