Liberal Forum

peepee » 17 Mar 2023, 7:43 am » wrote: ↑

17 Mar 2023, 7:43 am

https://wallstreetonparade.com/2023/03/ ... ng-it-out/

Silicon Valley Bank Was a Wall Street IPO Pipeline in Drag as a Federally-Insured Bank; FHLB of San Francisco Was Quietly Bailing It Out

"...To put it bluntly, this was a Wall Street IPO machine that enriched the investment banks on Wall Street by keeping the IPO pipeline moving; padded the bank accounts of the venture capital and private equity middlemen; and minted startup millionaires for ideas that often flamed out after the companies went public. These are the functions and risks taken by investment banks. Silicon Valley Bank – with this business model — should never have been allowed to hold a federally-insured banking charter and be backstopped by the U.S. taxpayer, who was on the hook for its incompetent bank management.

We say incompetent based on this fact alone (although there were clearly lots of other problem areas): $150 billion of its $175 billion in deposits were uninsured. The bank was clearly playing a dangerous gambit with its depositors’ money.

Adding further insult to U.S. taxpayers, the Federal Home Loan Bank of San Francisco was quietly bailing out SVB throughout much of last year. Federal Home Loan Banks are also not supposed to be in the business of bailing out venture capitalists or private equity titans. Their job is to provide loans to banks to promote mortgages to individuals and loans to promote affordable housing and community development...."

You should stick with hauling around the PISS BUCKET, Piss Boy.

Can you point to ANY ILLEGAL ACTS here in SVB making LOANS to startups?? And where is there a CRIME for IPO's for NEW COMPANIES to be issued by INVESTMENT BANKS, which is EXACTLY what they are LEGALLY formed to do??

Companies GENERALLY, have to be in business for 5 or more years, PROFITABLE, needing CAPITAL to expand, and showing a STRONG TRACK RECORD of success BEFORE any Investment bank is even going to look at an IPO for them. ADD TO THAT, the need for FEDERAL reporting requirements to the SEC, a completely different PUBLIC disclosures, and scrutiny by INVESTORS through Prospectus and other disclosures  

PERHAPS your MONETARY IGNORANCE is on FULL DISPLAY here!!! But then again, UTTERLY STUPID people like you who carry the PISS BUCKET around are total MORONS to begin with and subject to being EASILY MANIPULATED by sensationalism.