Silicon Valley Bank (SVB) was born in 1983, a bank specializing in emerging companies in the technology sector.
His business was based on receiving money from these businesses and lending it to them.
For more than 30 years, the firm settled smoothly.
DEPOSITS
LOANS
SILICON VALLEY
BANK
DEPOSITS
LOANS
SILICON VALLEY BANK
Then, the pandemic stepped on the accelerator: the technological ones prospered with the move to the internet.
And central banks and governments injected abundant liquidity into their economies to preserve financial stability.
Silicon Valley Bank Nasdaq Stock
717.4
Oct 2021
700 dollars
500
2
300
1
100
0
1990
2000
2010
2020
The first decades of SVB are bonanza.
The entity grows little by little.
Build trust.
1
The revolution of technology startups during the pandemic multiplies the value of SVB shares by seven.
2
Source: investing.com
Silicon Valley Bank Nasdaq Stock
717.4
Oct 2021
700 dollars
The revolution of technology startups during the pandemic multiplies the value of SVB shares by seven.
500
300
The first decades of SVB are bonanza.
The entity grows little by little.
Build trust.
100
0
1990
nineteen ninety five
2000
2005
2010
2015
2020
Source: investing.com
Silicon Valley Bank Nasdaq Stock
717.4
Oct 2021
700 dollars
The revolution of technology startups during the pandemic multiplies the value of SVB shares by seven.
500
300
The first decades of SVB are bonanza.
The entity grows little by little.
Build trust.
100
0
1990
nineteen ninety five
2000
2005
2010
2015
2020
Source: investing.com
Tech profits turned into a flurry of deposits for SVB.
DEPOSITS
SILICON VALLEY
BANK
DEPOSITS
SILICON VALLEY BANK
More deposits and fewer loans saw SVB enter 2021 with coffers fuller than ever.
In four years, he accumulated 153,000 million dollars.
Silicon Valley Bank Deposits
insured
uninsured
200,000 million
of dollars
200,414
The bank saw strong deposit growth during the pandemic.
Many of them
without insuring
47,274
0
2019
2020
2021
2022
2023
Source: FDIC (Federal Deposit Insurance Corporation).
Silicon Valley Bank Deposits
insured
uninsured
200,000 million
of dollars
200,414
The bank saw strong deposit growth during the pandemic.
Many of them
without insuring
100,000
47,274
0
2019
2020
2021
2022
2023
Source: FDIC (Federal Deposit Insurance Corporation).
Silicon Valley Bank Deposits
insured
uninsured
200,000 million
of dollars
The bank saw strong deposit growth during the pandemic.
Many of them
without insuring
200,414
100,000
47,274
0
2019
2020
2021
2022
2023
Source: FDIC (Federal Deposit Insurance Corporation).
In an attempt to make its burgeoning assets profitable, the Californian entity sought a long-term investment that, on paper, would be among the safest in the world: treasury bonds.
invested deposits
in treasury bonds
Interests
fluctuations
Investing in treasury bonds guarantees the return of the principal with interest and avoids losing money due to market fluctuations.
invested deposits
in treasury bonds
Interests
fluctuations
Investing in treasury bonds guarantees the return of the principal with interest and avoids losing money due to market fluctuations.
invested deposits
in treasury bonds
Interests
fluctuations
Investing in treasury bonds guarantees the return of the principal with interest and avoids losing money due to market fluctuations.
What SVB could not foresee was the war in Ukraine, the energy crisis and, as a final blow, an increase in interest rates that sought to curb runaway inflation, but also caused the value of bonds to fall.
In addition, startups were no longer swimming in the abundance of 2020: they needed money and began to withdraw deposits.
DEPOSITS
SILICON VALLEY
BANK
DEPOSITS
SILICON VALLEY BANK
SVB was facing the threat of increasing demand for liquidity with part of its assets trapped in bonds.
He had no choice but to recover the investment prematurely by breaking the guarantee conditions of the bond and at a time when they were worth less due to the rise in interest rates in the US.
invested deposits
in treasury bonds
On March 8, SVB is forced to withdraw treasury bonds when they are undervalued.
Lose $1.8 billion.
invested deposits
in treasury bonds
fluctuations
On March 8, SVB is forced to withdraw treasury bonds when they are undervalued.
Lose $1.8 billion.
invested deposits
in treasury bonds
fluctuations
On March 8, SVB is forced to withdraw treasury bonds when they are undervalued.
Lose $1.8 billion.
The sale of bonds, hasty and with inevitable losses, added to the bank's intention to make a capital increase.
Both painted a portrait of a bank eager for resources to stay afloat.
The image ran through the SVB ecosystem like a chill and fueled mistrust.
DEPOSITS
His clients withdraw 42,000 million dollars in just 10 hours.
SILICON VALLEY
BANK
DEPOSITS
His clients withdraw 42,000 million dollars in just 10 hours.
SILICON VALLEY BANK
En cuestión de horas, SVB se dio un batacazo inédito. El banco se desangraba el 9 de marzo a un ritmo de un millón de dólares por segundo. En la banca moderna, el pánico corre como la pólvora en las redes sociales y las masas no necesitan agolparse en la puerta de la sucursal para reclamar su dinero. Además, al tratarse de empresas, las retiradas eran de mayor cuantía.
Cotización Nasdaq de Silicon Valley Bank
300 dólares
200
Las acciones
de la entidad se desplomaron un 60% en un día.
100
0
16 febrero
24 febrero
1 marzo
9 marzo
Fuente: investing.com
Cotización Nasdaq de Silicon Valley Bank
300 dólares
200
Las acciones de la entidad se desplomaron un 60% en un día.
100
0
16 febrero
24 febrero
1 marzo
9 marzo
Fuente: investing.com
Cotización Nasdaq de Silicon Valley Bank
300 dólares
200
Las accionesde la entidad se desplomaron un 60% en un día.
100
0
16 febrero
24 febrero
1 marzo
9 marzo
Fuente: investing.com
El 10 de marzo, la quiebra se hizo oficial como la segunda más grande de la historia de la banca en EE UU. El Fondo de Garantía de Depósitos (FDIC), tomó el control de la entidad y trató de frenar el contagio a otros bancos asegurando a los clientes de SVB y del también caído Signature Bank que recuperarían sus depósitos. Esta garantía amparó incluso a aquellos que superaban el límite establecido de 250.000 dólares y que, en el caso del banco californiano, eran más del 85%.
Pese a los esfuerzos de las autoridades, el colapso incontenible del banco de las startups no ha dejado ilesos a los supervivientes. Desde la quiebra, otras entidades regionales de parecidas dimensiones han visto cómo sus clientes optan por trasladar sus cuentas a los grandes bancos estadounidenses, como JP Morgan o Citigroup.
SILICON
VALLEY BANK
FIRST REPUBLIC
BANK
WESTERN
ALLIANCE
SIGNATURE
BANK
PACWEST
J.P. MORGAN
WESTERN
ALLIANCE
SILICONE
VALLEY BANK
FIRST REPUBLIC
BANK
SIGNATURE
BANK
PACWEST
J.P. MORGAN
With the collaboration of
Álvaro Sánchez
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