Rowan questions whether regional banks can remain in the loan business given higher costs and deposit uncertainty.
“If you pay more for your deposits, if you have increased costs from operations, from regulation, and all of a sudden you don't know about the stickiness of your deposits, are you in the loan business anymore?”
Rowan notes $42 billion left SVB in four hours, challenging regional bank CEOs' business models.
“42,000,000,000 left SVB in four hours without a line. So you're now the CEO of a big regional bank.”
“What we didn't know is that 42,000,000,000 could leave the banking system in four hours without a line. I mean, to me, that is the takeaway out of these three bank failures.”
“What we didn't know is that 42,000,000,000 could leave the banking system in four hours without a line.”