Ask HN: How did risks of SVB's investments gone unnoticed?

If you go to the casino, you don’t know how much money you’re going to loose. But you can calculate an expectation value because the odds are known. In the financial system, you cannot quantify your risk. It depends on many more factors (including human behavior) than rolling a dice.

This is probably true for people working inside SVB. For people looking at the aggregated reports from the outside it’s worse or practically impossible to judge.

They were noticed; they were shorts on twitter in January.

It's.

It's deliberately concealed by its major authorities

Sounds like failure of financial due diligence. A proper due diligence could have uncovered the concealments.

They failed to proof read before posting?

Wouldn't the details audited by accounting firms?

SVB CEO Greg Becker lobbied the government to relax some Dodd-Frank provisions on regional lenders in 2015. Trump did in 2018.

https://fortune.com/2023/03/11/silicon-valley-bank-svb-ceo-g...