"Imagine if you bought $100,000 of bonds and then the bond market dropped by 20%. If you were a normal, rational person, you would say your portfolio is now worth $80,000. However, if you were a...

Conceptually, a master netting agreement is very simple. It just says that if Alice owes Bob $7 for ice cream last week and Bob owes Alice $10 for lunch yesterday, then Alice and Bob can settle both...

Bank balance sheets are filled with lies because the majority of assets on their balance sheet are usually reported at "amortized cost" rather than "fair value". When interest rates go up, the...

Barney Frank is a retired Democratic congressman who co-authored the Dodd-Frank Act (the set of new banking regulations that came in the wake of the Financial Crisis) and sat on the board of...

"Even Tech CU (a Silicon Valley credit union catering to tech workers) only grew its deposits by 35.6% from the beginning of 2020 to the end of 2021. That's almost 6 times less than the deposit...

"In 2 years, SVB more than tripled their deposits but couldn't lend out money as fast as they received it, so they decided to buy over $80 billion in long-term mortgage-backed securities that yielded...