The implosion of New York Community Bancorp highlights an unusual risk for banks: growing too fast.
New York Community Bancorp's 64% stock crash was in part caused by the increased regulatory scrutiny it received after crossing $100 billion in assets.
But it can be a completely different story in the banking sector, and New York Community Bancorp is the latest example.
Since then, New York Community Bancorp stock has crashed 64% and reignited fears of another regional banking crisis.
"The case underpins a core principle of banking that may seem counterintuitive beyond: In banking, growth is … not good," Rubinstein said.
Persons:
Marc Rubinstein, SVBFG, Thomas Cangemi, Rubinstein
Organizations:
York Community Bancorp, New, New York Community, New York Community Bancorp, Signature Bank, Valley Bank, Foreign Banking Organization, Bank, York Community, Bloomberg, Wall
Locations:
New York, New, America