Disclaimer: I am not an economic advisor
A few days ago, we witnessed one of the most significant banking collapses in modern times.
There were numerous warning signs about the imminent collapse of the economy as we know it. Put bluntly, the Silicon Valley Bank is the modern-day Lehman Brothers.
Now the question remains, should we be worried? The answer to this is a HELL TO THE YES!
In 2008, we suffered “The Great Recession” due to the gluttonous real estate market placing people in homes they could not afford.
Lehman Brothers are the modern-day Silicon Valley Banking system to collapse, causing the markets to crash and commodities to inflate.
As the saying goes, history repeats and this trend of economic prosperity and collapse spawns every fifteen to twenty years.
If you want my 0.02, I will admonish you to leave little money in your current bank. Leave the amount necessary to pay your bills and take most of it out.
Furthermore, banks are less reliable than you think. If everyone withdrew simultaneously, the banks could not cover the funds because they had none.
Trust me; it took the bank under a week to have my 40K cash a couple of years ago because they do not have that kind of money.
Silicon Valley Bank
The latest buzzword for the past few days is Silicon Valley Bank and how it went under.
These are ominous times; however, you must try to think outside the box. Nothing is a sure thing these days, especially jobs.
The game is rigged and not meant for us to prosper. The head employees of this bank sold off their shares weeks before the collapse. You can read about it here.
Moreover, this is very interesting because the Chief Administrator Officer at Silicon Valley Bank was the same person in charge of the Lehman Brothers Bank when that went under in 2008.