The First Republic Bank of the United States collapsed and fell!
This bombshell news swept through the global financial market like a hurricane, causing huge repercussions and controversy.
Despite the efforts of the U.S. federal government, it has failed to save the fate of this large bank.
After this ups and downs, this year it has become the fourth major bank with broken super assets, after Silicon Valley Bank, Signature Bank and Credit Suisse.
It is worth noting that the bank's assets exceed 213 billion US dollars (equivalent to 1 yuan).5 trillion yuan). Perhaps, for many readers, this huge number seems like a fantasySo, let's take a look at the asset size of the four major state-owned banks below – all of which come from the China Merchants database.
It is true that the total assets of the four major banks are only more than 150 trillion yuan, compared with the assets of the First Republic Bank of the United States, which are 14 times that of the latterSince the beginning of this year, many experts have predicted that this year will be a year of earth-shattering change!
Because what we are Xi to will make waves this year!For too long, the image of banks as impeccable and solid has been turned upside down, and no bank, no matter how large, is no longer seen as a safe haven. Next, let's reveal the truth of the brutal truth!
First, the long-standing myth of "never going bankrupt" in the banking industry has come to an end. More and more banks are falling from the altar, and this scene is really shocking!
We have seen that since the beginning of this year, especially in March, a number of large banks, including Silicon Valley Bank in the United States, have declared bankruptcy one after another. Among them, it was established in 1983 and has assets of up to 210 billion US dollars (equivalent to 1 yuan).4 trillion yuan), Silicon Valley Bank, whose total deposits are close to one trillion yuan, has performed particularly wellSubsequently, there is Signature Bank, which was born in 2001, and its about deposits reached nearly 110 billion US dollars (about 750 billion yuan);Soon after, Credit Suisse, the world's fifth-largest financial group and Switzerland's second-largest bank, founded in 1856, followed the same path.
By the end of 2022, five banks in China have declared bankruptcy, involving Hainan Development Bank, Hebei Suning Shangcun Rural Credit Cooperative, Inner Mongolia Baoshang Bank, Shantou Commercial Bank and Liaoning Taizihe Village Bank.
According to the statistics of the reporter of Caijing magazine according to public materials, since 2020, 4,000 small and medium-sized banks in the country, with total assets of nearly 80 trillion yuan, are suffering a new round of fierce impact, and so far more than 20 small and medium-sized banks have completed or are experiencing merger and reorganization ......In view of the above facts, whether it is domestic or foreign, our savings deposits are actually in a dilemma of internal and external weakness.
As time went on, the situation became more dire. The reaction of the rich is even more striking.
Second, global money began to flee like crazy.
The main safe-haven targets in this crisis include domestic and overseas investors.
Of particular concern is the fact that this frenzied exodus is being dominated by Chinese billionaires.
As influential investors around the world, Chinese billionaires have a broad international asset portfolio, and today's bankrupt and thunderous financial institutions used to be one of the main channels for them to choose to invest.
According to reports, many Chinese billionaires have been hit hard by the AT1 bond liquidation issued by Credit Suisse, and some have even lost billions of dollars in investmentIn addition, online rumors have pointed out that at least $60 million in potential deposits of a top Chinese Internet player have disappeared without interestAnd a well-known entrepreneur in China is trapped in the quagmire of billions of dollars ...... fundsFaced with such a predicament, the wealthy have taken steps to gradually withdraw their investments from high-risk areas, hoping to reduce property losses, thereby stimulating the flow of capital.
As a result, there is a growing trend towards a significant global withdrawal of funds. This undoubtedly illustrates a problem: the bank failures have raised questions and concerns about the global financial system among domestic and foreign investors.
The storm is not a short-term panic, but rather a timely and rational response by investors to future financial uncertainties. Liquidity and reallocation will face even more severe challenges. In the face of this situation, assets evaporate, venture capitalists are frightened, so how can the general public protect their wealth accumulation?
2023 Annual Stocktake