The Megyn Kelly Show What the Silicon Valley Bank Collapse Means for the U.S. Economy, Whether Tom Brady Will Un-Retire…Again, with Steve Forbes and Marcellus Wiley | Ep. 511
Mar 14, 2023
Steve Forbes, Chairman of Forbes Media, shares insights on the economic fallout from the Silicon Valley Bank collapse and its implications for the U.S. economy. Marcellus Wiley, former NFL star, dives into Michael Irvin's defamation lawsuit and Tiger Woods’ legal troubles, addressing public perceptions of celebrity behavior. They speculate on Tom Brady's possible return to football while discussing the pressures athletes face in relationships. The conversation also touches on the complexities of transgender policies in women's sports and their impacts on fairness.
AI Snips
Chapters
Books
Transcript
Episode notes
SVB's Fundamental Banking Error
- Silicon Valley Bank (SVB) failed due to mismatched assets and liabilities, a basic banking principle.
- They invested in long-term assets while liabilities could be withdrawn instantly, creating vulnerability.
Alternative to SVB Bailout
- Steve Forbes argues that bailing out SVB's investors was unnecessary to restore consumer confidence.
- Guaranteeing deposits at other banks would have sufficed without rewarding SVB's bad decisions.
Management and FDIC Failures
- SVB's management made crucial mistakes by not hedging against interest rate increases and failing to secure a buyer.
- Forbes emphasizes ample assets and interested buyers existed, preventing a complete collapse.
