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Immunised from Banking Lurgy? Ep 335 David Tripe

NZ Everyday Investor

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The Effects of the Dodd-Frank Act on Banks

SVB had only a relatively small proportion of their deposits were actually subject to insurance. That meant that the consequences of the failure were potentially going to be quite extensive. The Dodd-Frank Act initially applied an extra set of controls to banks with assets of over $50 billion. In 2018, that $50 billion limit was lifted and SVB wasn't as big a bank as it was by 2022.

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