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☆ Failure of Silicon Valley Bank Mirrors the Myth of the Wild West
▼ + stars: | 2023-03-19 | by ( Adam Rogers | ) www.businessinsider.com time to read: +10 min

As Silicon Valley Bank went down the tubes, it wasn't surprising that the loudest mouths in Techworld started demanding that the federal government cover everyone's losses. They were pioneers on the frontier of tech and finance, and as such they acted the way pioneers always do. Myths of the frontiersIt's unfashionable for people in the tech industry to dispute the central role that government-funded infrastructure and academic projects have played in the development of Silicon Valley and the digital age. Shout down into Silicon Valley and you'll hear echoes of this same pioneer myth. They see themselves as heroes not of a Western frontier but of space — the Final one — as refracted by the legendary writers of the Golden Age of Science Fiction.

☆ Democratic lawmakers urge US to probe Goldman's role in SVB collapse
▼ + stars: | 2023-03-17 | by ( Kanishka Singh | ) www.reuters.com time to read: +2 min

"(We) wish to raise our concerns over the role of Goldman Sachs Group in advising SVB and in the purchase of its bond portfolio," the letter said. Californian regulators shuttered Silicon Valley Bank last Friday and appointed FDIC as receiver. U.S. prosecutors are investigating the SVB collapse, a source familiar with the matter told Reuters this week. Goldman Sachs did not immediately respond to a request for comment on the letter by lawmakers. Financial stocks have lost over billions of dollars in value since Silicon Valley Bank and Signature Bank (SBNY.O) collapsed last week.

Virgin Money (VMUK.L), Britain's sixth largest bank, said in a statement it had also seen "net business deposit inflows in recent days". That means SVB UK's customer deposits are safe and their loans supported, HSBC's top bosses have said. Franklin told Reuters a number of CEOs and startup execs had started researching other banks with which to park cash in addition to SVB UK this week, citing Barclays as a favourite among some. But the collapse of SVB has intensified scrutiny of the business models of all lenders, including specialists with smaller balance sheets to fall back on. "The UK banking system remains safe and continues to operate as normal."

WASHINGTON, March 17 (Reuters) - U.S. President Joe Biden said on Friday the banking crisis has calmed down after the recent collapse of Silicon Valley Bank (SVB) (SIVB.O) and Signature Bank (SBNY.O). "Yes," Biden told reporters at the White House on Friday when asked if the banking crisis had calmed down. Californian regulators shuttered Silicon Valley Bank last Friday and appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. Earlier on Friday, Biden had called on Congress to give regulators greater power over the banking sector, including leveraging higher fines for managers, clawing back executives' compensation and barring officials from failed banks. Silicon Valley Bank CEO Greg Becker sold $3.6 million worth of shares in late February, about two weeks before the bank entered FDIC receivership, Bloomberg and CNBC reported.

☆ Apollo, Blackstone eye SVB assets - Bloomberg News
▼ + stars: | 2023-03-14 | by ( ) www.reuters.com time to read: +1 min

[1/2] Customers wait outside as an employee enters the Silicon Valley Bank branch office in downtown San Francisco, California, U.S., March 13, 2023. REUTERS/Kori Suzuki/File PhotoMarch 14 (Reuters) - Apollo Global Management Inc (APO.N) and Blackstone Inc (BX.N) have expressed interest in a book of loans held by Silicon Valley Bank (SVB), a subsidiary of the defunct SVB Financial Services Group (SIVB.O), Bloomberg News reported on Tuesday. Last week, Californian regulators shut down tech lender SVB after a failed share sale that saw $42 billion of deposit outflows in a day and escalated worries of a contagion across financial markets. Apollo, Blackstone, and SVB did not immediately respond to Reuters' requests for comment. Reporting by Mehnaz Yasmin in Bengaluru; editing by Uttaresh VenkateshwaranOur Standards: The Thomson Reuters Trust Principles.

☆ Private equity giants including Apollo, Blackstone eye SVB loan book- reports
▼ + stars: | 2023-03-14 | by ( ) www.reuters.com time to read: +2 min

[1/2] Customers wait outside as an employee enters the Silicon Valley Bank branch office in downtown San Francisco, California, U.S., March 13, 2023. REUTERS/Kori Suzuki/File PhotoMarch 14 (Reuters) - Apollo Global Management Inc (APO.N), Blackstone Inc (BX.N) and KKR & Co Inc (KKR.N) have expressed interest in a book of loans held by Silicon Valley Bank (SVB), Bloomberg News reported on Tuesday, citing people familiar with the matter. Buyout giants Ares Management (ARES.N) and Carlyle Group (CG.O) are also looking to buy the loan book, the Financial Times reported, citing people familiar with the matter. The surge in interest in the book follows the tech lender's failure last week to raise equity to plug a $1.8 billion hole after selling its $21 billion portfolio of securities at a loss. On Monday, SVB said it was planning to explore strategic alternatives for its businesses, including holding company SVB Capital and SVB Securities.

☆ SVB Financial Group mulls strategic alternatives
▼ + stars: | 2023-03-13 | by ( ) www.reuters.com time to read: 1 min

March 13 (Reuters) - Defunct startup-focused lender SVB Financial Group (SIVB.O) said on Monday that it was planning to explore strategic alternatives for its businesses, including the holding company, SVB Capital and SVB Securities. The move comes after Californian regulators shuttered the bank following a failed share sale that drained $42 billion in deposits in a single day and sucked out liquidity at the company. Its board has appointed a restructuring committee consisting of five independent directors, it said in a statement. Reporting by Mehnaz Yasmin in Bengaluru; Editing by Anil D'SilvaOur Standards: The Thomson Reuters Trust Principles.

☆ Uber and Lyft shares rise after California court victory lets them classify drivers as contractors
▼ + stars: | 2023-03-13 | by ( Rohan Goswami | ) www.cnbc.com time to read: +2 min

In Nov. 2020, California voters approved Proposition 22, which allowed ride-sharing and delivery app makers to classify their drivers as independent contractors. Ride-sharing apps, including Uber and Lyft, can continue to treat their drivers as independent contractors, a California appeals court ruled on Monday, overturning a lower-court decision that barred them from doing so. It was the most expensive ballot issue in California's history, with ride-share companies contributing over $181 million to the "Yes" campaign. A group of ride-share drivers sought to strike down Proposition 22, and won a lower court decision. "Proposition 22 does not intrude on the Legislature's workers' compensation authority or violate the single-subject rule," the opinion read.

☆ HSBC turns Silicon Valley Bank calamity into gold
▼ + stars: | 2023-03-13 | by ( ) www.reuters.com time to read: +2 min

LONDON, March 13 (Reuters Breakingviews) - A crisis can be an opportunity for the prepared. That’s what HSBC (HSBA.L) may find with its acquisition of Silicon Valley Bank’s UK arm (SVBUK), announced on Monday morning. The Bank of London, a young clearing bank that also submitted a bid, said on Monday that the HSBC deal was a missed opportunity to promote competition. On that theory, the UK government and Bank of England should have handed SVBUK to a financial-technology startup or a challenger bank, rather than strengthening an established player. They do not reflect the views of Reuters News, which, under the Trust Principles, is committed to integrity, independence, and freedom from bias.

☆ Big bank selloff rests on tiny kernel of truth
▼ + stars: | 2023-03-10 | by ( Liam Proud | ) www.reuters.com time to read: +3 min

LONDON, March 10 (Reuters Breakingviews) - The travails of Silicon Valley Bank (SIVB.O) are rippling across the global banking system, wiping billions off the market capitalisations of HSBC (HSBA.L), Deutsche Bank (DBKGn.DE) and JPMorgan (JPM.N). It’s nonetheless a useful reminder that rising interest rates bring risks as well as benefits. The trigger for the selloff seems to have been a $1.8 billion equity issue by SVB Financial, which does business as Silicon Valley Bank. Shrinking deposits saw Chief Executive Greg Becker sell down a $21 billion portfolio of Treasury and agency mortgage bonds. As interest rates rise banks are charging more for loans.

SummarySummary Companies Tech bank's troubles panic marketsFears spread over fallout from rising interest ratesBanks vulnerable as bond values dropLONDON, March 10 (Reuters) - For months, investors had shrugged off the threat of rising interest rates. In SVB's case, venture capital clients, unable to raise cash elsewhere, pulled money from the bank, forcing its hasty sale of bonds at a loss. In February, U.S. regulators said U.S. banks had unrealised losses of more than $620 billion on securities, underscoring the scale of the risks. Jason Benowitz, senior portfolio manager at CI Roosevelt, said SVB's risks were not unique with many banks sitting on such unrealised losses because rates have moved so rapidly. "The SVB situation is a reminder that many institutions are sitting on large unrealised losses," said AJ Bell investment research director Russ Mould.

Due to the tiny size of the capsule and the huge distances involved, authorities warn the chances of finding it are slim. Department of Fire and Emergency Services/APHow rare is it to lose a radioactive device? Radiation Services WA says radioactive substances are transported throughout Western Australia on a daily basis without any issues. A conveyor belt transports iron ore at the Gudai-Darri mine operated by the Rio Tinto in the Pilbara region of Western Australia, June 21, 2022. At that rate, the capsule could be radioactive for the next 300 years, said Deb from RMIT University.

☆ U.S. Representative Schiff sets sights on fellow Democrat Feinstein's Senate seat
▼ + stars: | 2023-01-26 | by ( Kanishka Singh | ) www.reuters.com time to read: +2 min

Schiff joined other California Democrats aiming for the seat currently held by Democratic Senator Dianne Feinstein. U.S. Representative Katie Porter launched her U.S. Senate campaign this month. The Washington Post has reported that Representative Barbara Lee was also planning to run for the seat. The new Republican House Speaker, fellow Californian Kevin McCarthy, has blocked Schiff from serving on the prestigious panel again. Schiff, a prominent House Democrat who was first elected in 2000, gained national attention for his high-profile role in the 2020 Trump impeachment trial.

☆ Republican hardliners, George Santos shun White House welcome for new Congress
▼ + stars: | 2023-01-25 | by ( Trevor Hunnicutt | ) www.reuters.com time to read: +2 min

WASHINGTON (Reuters) - Embattled Republican freshman U.S. Representative George Santos skipped his invitation to a White House reception on Tuesday evening and appears to have been joined by several hardline newcomers in snubbing President Joe Biden. “Everyone is invited who is part of the new Congress,” said White House spokesperson Karine Jean-Pierre on Monday. Many Republicans in the House have instead promised to block government spending and investigate Biden’s family and use of office. Biden’s fellow Democrats have narrow control of the Senate, while Republicans won a slim majority in the House during the 2022 midterm elections. McCarthy was elected as speaker only after agreeing to a demand by hardliners that any lawmaker be able call for his removal at any time.

☆ Explainer: What guns were used to attack a Lunar New Year party in California?
▼ + stars: | 2023-01-24 | by ( Jonathan Allen | ) www.reuters.com time to read: +3 min

Here is what is known so far about the weapons involved and the regulations that govern them:WHAT GUNS WERE USED? He did not disclose the capacity of the magazine attached, although under California law a "large-capacity magazine" is defined as one that holds more than 10 rounds. The state bans many kinds of guns that are legal in other states, and obtaining a required California gun license is relatively difficult. Semi-automatic pistols are the most widely carried guns in the country, and some kinds are legal in California. But the state bans what it defines as "assault weapons," which is determined by the gun's features and includes semiautomatic MAC-10 guns.

As speaker, McCarthy has the authority to choose a chairman and Republican members of the panel. Jeffries, as minority leader, can nominate Democrats to serve on the panel, but McCarthy has the power to reject them. He has specifically targeted Schiff and Swalwell who played a major role in the impeachments of former President Donald Trump. Those actions angered McCarthy and for months he has vowed to block Schiff and Swalwell from the Intelligence panel. As recently as Jan. 12, McCarthy told reporters he would not seat Schiff and Swalwell who regularly antagonize McCarthy during cable news appearances.

☆ Adam Schiff, Disinformation Man
▼ + stars: | 2023-01-21 | by ( The Editorial Board | ) www.wsj.com time to read: 1 min

House Republicans are preparing to strip Adam Schiff of his Intelligence Committee seat, and his media allies are rallying to the California Democrat’s defense. Maybe that’s because he was such a useful source against Republicans over the years, as the latest documents released by Twitter show. The media says House Speaker Kevin McCarthy ’s motive for removing the ranking House Intel member is retribution for Nancy Pelosi’s unprecedented decision to strip two Republicans of committee seats in the last Congress. No doubt Republicans want Democrats to meditate on the consequences of their norm-busting. But Mr. McCarthy has offered a good reason for giving the Californian the boot: “Adam Schiff openly lied to the American public.”

☆ Brooksby delivers Ruud shock to send second seed crashing
▼ + stars: | 2023-01-19 | by ( Shrivathsa Sridhar | ) www.reuters.com time to read: +3 min

I was pretty confident with my level and just wanted to have fun out there and see what could happen," Brooksby, 22, said. After a medical timeout following the second set, Ruud was far more comfortable on court but found himself broken and down 2-0 and then 5-2 in the third but he saved three matchpoints in the next game to force a tiebreak as Brooksby's clean winners deserted him. Up next for Brooksby, who is making his Australian Open debut this year after withdrawing in 2022 due to illness, is compatriot Tommy Paul following his five-set victory over Spanish 30th seed Alejandro Davidovich Fokina. "It's going another battle for sure, all the Americans are going really well right now, and we're all pushing each other," Brooksby said. "It's something that has been with me for around two years since I got a strain here in the fourth round," Ruud said.

☆ Robinhood must face customers' lawsuit alleging it hid trading costs
▼ + stars: | 2023-01-18 | by ( Jonathan Stempel | ) www.reuters.com time to read: +2 min

Jan 18 (Reuters) - A U.S. judge on Wednesday said Robinhood Markets Inc (HOOD.O) must face a lawsuit by customers who accused the online trading platform of fraudulently concealing their actual trading costs while promising "commission free" trades. U.S. District Judge Yvonne Gonzalez Rogers in Oakland, California, said customers in the proposed class action had standing to sue over securities they bought and sold on Robinhood's platform. Customers led by Ji Kwon, a Californian, said they ultimately bore these costs and often got worse prices on trades than if they had gone to rivals that charged commissions. The proposed class includes U.S. users of Robinhood from Sept. 1, 2016 to June 16, 2020 who placed trades where the company received payment for order flow. The case is In re Robinhood Order Flow Litigation, U.S. District Court, Northern District of California, No.

☆ Arizona GOP Rep. Eli Crane, a freshman lawmaker who opposed Kevin McCarthy as speaker, says he 'might wind up in the broom closet' over his vote
▼ + stars: | 2023-01-15 | by ( John L. Dorman | ) www.businessinsider.com time to read: +3 min

Rep. Crane said he "might wind up in the broom closet" over his opposition to McCarthy's speakership. Crane told The New York Times he simply wanted to see Republicans move in a different direction. "Sir, I'm sorry, we love you out in Arizona, but I've been listening to my voters," Crane told Trump, per the lawmaker's recent interview with The New York Times. In the first 14 ballots, Crane supported conservative alternatives to McCarthy before voting "present" in the 15th and final ballot. Crane told the newspaper that he'd like to serve on the Foreign Affairs, Homeland Security, and Natural Resources Committees, but felt that he could be shut out due to his speakership vote.

☆ Trump claimed credit, but a GOP congressman says the former president had 'no influence' over anti-McCarthy conservatives during the contentious vote for the House speakership
▼ + stars: | 2023-01-15 | by ( John L. Dorman | ) www.businessinsider.com time to read: +4 min

Former President Trump has claimed credit for helping Kevin McCarthy win the House speakership. However, several ardent conservatives told ABC that Trump had no real impact during the process. "President Trump had no influence on the votes, myself or any of my colleagues," Rep. Bob Good said. However, Trump backed McCarthy's bid and claimed credit for helping get the GOP leader over the finish line. However, McCarthy personally thanked Trump immediately after winning the speakership, stating that no one "should doubt his influence."

☆ You need more than a remote job to become a 'digital nomad.' From taxes to visas, here's what you should know before working internationally
▼ + stars: | 2023-01-14 | by ( Hannah Towey | ) www.businessinsider.com time to read: +7 min

From visa issues to taxes, becoming a "digital nomad" can be a logistical nightmare. Some digital nomads fed-up with the complicated rulebook for remote work are going incognito. "From a regulatory standpoint, even domestically hopping from state to state is just a massive cluster," Nubern told Insider. More recently, countries have attempted to set up clearer tax rules, travel guidelines, and minimum income requirements through "digital nomad visas." Even if you're a digital nomad and making $100k, the math doesn't really add up," Nubern said.

☆ Lebanon, Maine — where the winning Mega Millions lottery ticket was sold — is a small town for 'woodsy introverts' with just over 6,000 residents near New Hampshire
▼ + stars: | 2023-01-14 | by ( Bethany Biron | ) www.businessinsider.com time to read: +3 min

Maine just sold its first winning Mega Millions ticket for a whopping $1.35 billion. The ticket was sold at a gas station in the small town of Lebanon. "There is not much around, but it is a quiet little town in Maine," they wrote on the site. Hometown Gas & Grill in Lebanon, Maine. A total of 1,250 retailers sell lottery products in the state, and each business receives commissions and bonuses, per the Maine Lottery.

☆ Rep. Katie Porter’s Senate campaign conundrum
▼ + stars: | 2023-01-11 | by ( Lincoln Mitchell | ) www.nbcnews.com time to read: +5 min

The GOP is likely to have a better chance in Porter's district with her out of the picture. Enter Katie Porter, the first candidate to announce her intention to run for Feinstein’s seat. Her Senate run has a potential downside for national Democrats that should be clear. The problem Porter’s campaign raises for the Democrats has nothing to do with her chances of winning or what she would do in the Senate. If they decide to seek the Senate seat, there will be no cost to House Democrats because their replacements are almost sure to be Democrats as well.

☆ Sheng Thao, once homeless and fleeing abuse, becomes the mayor of Oakland, California
▼ + stars: | 2023-01-09 | by ( Claire Wang | ) www.nbcnews.com time to read: +8 min

Thao spoke with NBC Asian American about her vision for Oakland and how her upbringing shaped her advocacy for working families. Mayor-elect Sheng Thao is greeted by supporters following a news conference at City Hall in downtown Oakland, Calif., on Nov. 23, 2022. Jane Tyska / East Bay Times via Getty ImagesNBC Asian America: You’re the first Hmong American to become mayor of a major city. The Hmong community itself is already politically engaged. That’s made a huge impact especially on our Hmong girls because the Hmong community is still quite patriarchal.

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