a top republican has accused us regulators of being asleep at the wheel in the period leading up to the implosion of silicon valley bank. those comments in the first of two bruising congressional hearings intended to shed light on the failings that led to the lender s collapse. in response, the regulator pointed the finger at executives saying they did a terrible job of managing risk. we are still reconstructing the supervisory racket, we understand they were issued a matter requiring attention based on the inaccuracy of their interest rate risk modelling. essentially, the risk model was not at all aligned with reality. today, the hearing continues. the collapse of svb and signature bank created shock waves across the global banking sector, with central bankers moving to reassure nations that the structural integrity of the financial system remains intact. joining me now is greg feldberg, director of research for the yale program on financial stability. you were director
a much larger securities market to market losses than almost any other bank as well as having underinsured depositors who weren t loyal and sticky and likely to run, that combination with silicon valley, led to their rapid downfall. then the question was who else is managing their interest rate so badly and market to market box so badly that they could have a similar run which they wouldn t be able to handle. essentially that is a risk that the chairman had been talking about in the previous months, it was understood and out there, but over that weekend when there was panic about what other banks might face that combination, regulators didn t do the right thing, systemic risk was uninsured depositors of other banks might look at the losses on their balance sheets and suddenly leave. haw