Case Study: The 2023 US Regional Banking Crisis, A Systemic Risk Post Mortem

An advanced post-mortem for macro-focused investors, fund managers and senior finance professionals on the fastest bank failures in US history. In March 2023 Silicon Valley Bank lost $42 billion of deposits in a single day and was shut the next morning, Signature Bank followed within 48 hours, Credit Suisse was forced into a takeover by UBS a week later, and First Republic was seized and sold to JPMorgan in May. Start with how a bank balance sheet carries interest rate risk, and how held-to-maturity accounting kept large unrealised bond losses out of reported capital. Follow the pandemic deposit flood, the long-bond bets it funded and the 2022 Fed tightening that turned those bets into a hole. Rebuild SVB's losses from its own disclosures with duration maths, then trace the contagion through Signature, the systemic risk exception, the Bank Term Funding Program, the Credit Suisse AT1 write-down and First Republic's slow collapse. Read what the regulators admitted went wrong and what the reform agenda changed. Close by comparing the US set-up with RBI's investment portfolio norms, liquidity rules and DICGC deposit cover, the Indian parallels of Yes Bank, PMC Bank and Lakshmi Vilas Bank, and a practical checklist for screening Indian bank stocks for rate and run risk.