Regulators Had the Tools to Prevent Customer Concentration at Failed Banks
By Bill Alpert
After bank runs led regulators to shutter Silicon Valley Bank and Signature Bank, a Monday speech by President Joe Biden pinned blame on his predecessor, Donald Trump. Legislation signed by Trump in 2018 freed regional banks like Silicon Valley from strict federal banking rules.But state and federal regulators seem to have had the tools they needed to prevent the two bank failures. “The major flaws here were in supervision, not regulation,” says Karen Petrou, a longtime bank industry analyst at Federal Financial Analytics.
https://www.barrons.com/articles/regulators-signature-silicon-valley-banks-closing-3351ffa8