Generous but still limited instead. say to $1m? All ultra rich
have already removed their money from banks above the uncovered
limit, based on Jim Rickards. Those who still keep are small
businesses.
Posted by DigiNomad on 4th of May 2023 at 10:24 am
Maybe for business accounts. Someone would have to pay for it
and it's not going to be cheap. IBKR moves my uninvested cash
over the threshold to other banks for me automatically (up to about
5 or 6 banks per IBKR account, I think...so up to 2.5 million in
cash is always insured). If I ever got a whiff that IKBR was
in trouble and I had uninvested cash above that level, I would
simply buy treasuries or something like CSHI. It's only uninvested
cash in accounts that is at risk. Securities are already insured up
to any amount. At the end of the day, there has to be some
mechanism in place that keeps bank managers from focusing too much
on DEI conferences and policies and not enough on risk
management.
That mechanism is called bankruptcy, which does not work amidst
wide-spread corruption. Socialism for the rich will end like it did
during 1930's. This imbalance will work itself out.
Thanks for an update on the IB accounts.
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Generous but still limited instead.
It's disturbing hearing so many voices calling for the Gov ...
Posted by junkie on 4th of May 2023 at 10:14 am
Generous but still limited instead. say to $1m? All ultra rich have already removed their money from banks above the uncovered limit, based on Jim Rickards. Those who still keep are small businesses.
Maybe for business accounts. Someone
Posted by DigiNomad on 4th of May 2023 at 10:24 am
Maybe for business accounts. Someone would have to pay for it and it's not going to be cheap. IBKR moves my uninvested cash over the threshold to other banks for me automatically (up to about 5 or 6 banks per IBKR account, I think...so up to 2.5 million in cash is always insured). If I ever got a whiff that IKBR was in trouble and I had uninvested cash above that level, I would simply buy treasuries or something like CSHI. It's only uninvested cash in accounts that is at risk. Securities are already insured up to any amount. At the end of the day, there has to be some mechanism in place that keeps bank managers from focusing too much on DEI conferences and policies and not enough on risk management.
That mechanism is called bankruptcy,
Posted by junkie on 4th of May 2023 at 10:36 am
That mechanism is called bankruptcy, which does not work amidst wide-spread corruption. Socialism for the rich will end like it did during 1930's. This imbalance will work itself out.
Thanks for an update on the IB accounts.