Re:For the First Time, the Fed Is Losing Money
by topranks on Tuesday March 28, 2023 @02:14AM
(#35336630)
They messed up from what I read.
Most banks would have a variety of bonds, long and short term, with varying yeilds. Esp. given the rise of inflation took a little while and it wasn’t unlikely rates would rise.
SVB putting so much into long-term, low-yield treasuries was a major failure of its risk management.
Most banks would have a variety of bonds, long and short term, with varying yeilds. Esp. given the rise of inflation took a little while and it wasn’t unlikely rates would rise.
SVB putting so much into long-term, low-yield treasuries was a major failure of its risk management.