Silicon Valley Bank (SVB) Update

In case you missed President Bribem’s speech today let me provide you with my assessment of its key points. I learned three things: That the financial system is on the point of collapse; that the bank will be bailed out with taxpayer money + the printing press; that those responsible for the collapse will as always get away scot free, bonuses in pocket. What did Bribem say to make me draw these conclusions?

That the financial system is on the point of collapse: Bribem“Americans can have confidence that the banking system is safe. Your deposits will be there when you need them.”

That the bank will be bailed out with taxpayer money + the printing press: Bribem “No losses will be borne by the taxpayers. They [investors] knowingly took a risk, and when the risk didn’t pay off, investors lose their money”

That those responsible for the collapse will as always get away scot free, pocketing their bonuses on the way out: Bribem “The management of these banks will be fired. I’m firmly committed to holding those responsible for this mess fully accountable” 

The SVB collapse clearly represents a colossal failure in the bank’s risk management structures. How could this have happened? From the Daily Mail: “SVB had NO head of ‘risk assessment’ for nine months before it collapsed… as woke boss for Europe, Middle East and Africa was busy organizing a month-long Pride campaign and a ‘Lesbian Visibility Day“. SVB’s former head of risk, Laura Izurieta left the bank in April 2022 and wasn’t replaced until January 2023 when the bank hired Kim Olson. Meanwhile Jay Ersapah, the Head Of Risk Management for the rest of the world, and who describes herself as a “queer person of color from a working-class background” has been busy busy busy, organising a host of woke initiatives including a month-long Pride campaign and implementing ‘safe space’ catch-ups for staff.

In a corporate video published just nine months ago, she said she “could not be prouder to work for SVB serving underrepresented entrepreneurs”. Professional network Outstanding listed Ersapah as a top 100 LGTBQ Future Leader. “Jay is a leading figure for the bank’s awareness activities including being a panelist at the SVB’s Global Pride townhall to share her experiences as a lesbian of color, moderating SVB’s EMEA Pride townhall and was instrumental in initiating the organization’s first ever global “safe space catch-up”, supporting employees in sharing their experiences of coming out” her bio on the Outstanding website states. It adds that she “allies” with gay rights charity Stonewall and had authored numerous articles to promote LGBTQ awareness. These included “Lesbian Visibility Day and Trans Awareness week”. Separately she was also praised in a Facebook post by the group ‘Diversity Role Models,’ a charity which campaigns against homophobic, biphobic and transphobic bullying in UK schools.

In fact she, whoops, I mean ‘they’ seemed to be doing everything apart from, you know, Risk Management. (Scratchin’ ma’ haid…..)