Analysis of Bank Failures Reveals Unexpected Risks
On May 1, 2023, First Republic Bank (FRB), headquartered in San Francisco, became the third bank to fail this year. Silicon Valley Bank (SVB) and Signature Bank failed earlier this year; and Silvergate Bank, which was closely tied to the U.S. crypto economy, liquidated itself and is not listed by the FDIC as a bank failure. Most of FRB was sold to JPMorgan Chase, the largest bank in the nation. Deposits were protected and customers experienced uninterrupted service through the acquisition.