This is correct, Banks can plan for this risk by aiming to match the duration of their liabilities, which includes deposits, to their assets. For example, if a bank is getting funding via a one-year certificate of deposit, it can buy a Treasury maturing in one year to match. But if a bank’s deposits can move at any moment, it has to weigh that risk when investing. Banks also diversify with assets that are floating rate, like many kinds of corporate loans or credit card loans. Few are at risk of needing to wind down so quickly. But many may still have to take actions throttling back on loan growth or raising more capital if the Fed keeps going and deposits flee more quickly than anticipated.