[MtnClimber]

I think SVB was more interested in increasing their ESG score than assessing risk. Being leftists they probably didn’t think the excessive government spending posed a risk to their long-term bond investments.

[Hambone 1934]

Why should they??Dem friends would bail them out....

[DoodleBob]

I don't work for SVB, but I worked in NYC for a LONG time. I had lots of liberal Dems in my employers. In all honesty, they largely checked their leftism at the front door. Sure, we had talks about society and cabbies not picking up blacks (they don't...that's a different story). Maybe, at the margin, a view on say government spending and the Fed's monetary policy would enter the discussion. However, when it came to maximizing shareholder value, it was all Finance and economics 101 - everyone was Milton Friedman.

That was a few years ago-our man in Manhattan Sam may have a more contemporary view.

That's also Manhattan pre-covid. Maybe it's different in California or SF, or maybe since 2020 senior managers aren't checking their politics at the door. I wasn't in the asset-liability committees at SVB to hear Joe Blow say "well, I think white privilege will keep depositors from running away."

Having said that, the left is REALLY upset at the gaslighting the right has done with them on this topic.