Articles
Selected category: Banks
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Some Common Misperceptions About FDIC Insurance
I speak with lots of people from many walks of life about the US banking system, about the safety of banks and deposit protection. Virtually everyone is generally familiar with FDIC insurance. Federal Deposit Insurance... Read →
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Bill Dudley, Former Head of the NY Fed, Makes A Compelling Case for Not Raising FDIC Insurance, Proposes Alternative
In this Bloomberg piece, published today, Bill Dudley makes a compelling case against raising the FDIC insurance limit from the current $250,000 per account (learn more about FDIC coverage here). First, Dudley recognizes the importance... Read →
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Louisiana Senator John Neely Kennedy Is Spot-On About Silicon Valley Bank
I don’t agree with Senator Kennedy much. Almost everything that he has said publicly since Trump emerged has been absurdly and blindly naive. His positions on the major social issues of our time indicate he wants to wage war on the... Read →
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Jamie Dimon Is Correct – It Is Time to Ban the Short-Selling Of Banks
Jamie Dimon, JP Morgan Chase’s CEO and Tufts alumnus, appearing this morning on Bloomberg from Paris said that the largest regional banks with which he speaks are all in good financial shape. They, however, are exposed to the sudden... Read →
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Inaccurate Hypotheses Being Circulated About Failures of Silicon Valley Bank and Signature Bank
There has been a lot of inaccurate information circulating in the media about what precipitated the failures at Silicon Valley Bank and Signature Bank, and what happens now. Let’s try and clear up at least six things that have been... Read →
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Silicon Valley Bank Situation is Troubling; Here is What It Means for You and Me
The sudden bank run on Silicon Valley Bank (SVB) that materialized over the course of yesterday is quite troubling. The reality is that banks make bets on interest rates, and when interest rates move suddenly in one direction, as they have... Read →
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What is the CFPB and Why are the Republicans Out to Destroy It?
The Consumer Financial Protection Bureau (CFPB) is a regulatory agency of the United States government that is responsible for consumer protection in the financial sector. The CFPB was established under the Dodd-Frank Wall Street Reform and... Read →
Image Courtesy: Bloomberg
Morgan Stanley Shows Its True Colors During COVID-19 Pandemic
I had been a customer of Smith Barney for as long as I can remember, even after it merged into Morgan Stanley in 2011. Smith Barney was always an outstanding institution to do business with. They understood that the client always came... Read →
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TD Ameritrade Acquisition By Charles Schwab Causes Concern for Active Customers
Sophisticated stock traders have gravitated towards TD Ameritrade over the years. For over a decade, TD Ameritrade has had the best trading platform in the online trading business, and with the Sink or Swim acquisition they also have a... Read →
Image Courtesy: Washington Post
Federal Reserve Holds the Fed Funds Rate at 2.25% to 2.50% and Suggests It is Done Raising Until 2020
The Federal Reserve acted unanimously today to hold the Fed Funds target rate at 2.25% to 2.50%. Whereas the Fed had previously guided to two raises in 2019, it now indicates that there will be zero. Fed Chair Jerome Powell remains true... Read →
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BB&T And SunTrust to Merge, But Why?
BB&T and SunTrust Bank announced their merger this morning. The banks are the 12th and 13th largest US banks based on assets and the combined entity will become the sixth largest US bank. (A complete list of the largest banks based... Read →
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Avoid Chase’s New "You Invest" Program
JP Morgan Chase has always been a torchbearer in the banking arena. Under Jamie Dimon’s leadership, it has become a pioneer in mobile banking, provides some of the most valuable credit card offers for consumers and small businesses,... Read →
JP Morgan Chase Makes Private Client More Attractive By Turning on Online Brokerages
At BestCashCow, we’ve been big fans of Jamie Dimon and what he has done with Chase over the last decade in the post-crisis financial world. On the consumer side, Chase has tremendously outperformed its peers (Citibank, Bank of... Read →
GE May be in A Death Spiral; Your Deposits in Formerly GE-Owned Online Banks Are Safe
General Electric now appears to be in the middle stages of a death spiral. While the stock still has an equity value over $100 billion, the entire company is in the middle of a precipitous decline which seems to move to more serious... Read →