It would be understandable to get caught up in the details of the Silicon Valley Bank (SVB) collapse, and the ensuing chaos in the banking world. Yet, there is one major over-arching signal that is the linchpin to why SVB collapsed, and why other regional banks are having trouble: the cancer of woke ideology.
While there are many disparate elements contributing to the collapse itself, I contend all of the issues driving the disaster are linked by overall fealty to the cancer of wokism, impacting much of our infrastructure and affecting all of our lives.
You see, the moment any organized entity looks away from basic governing principles and instead commits to failed far-left political governance based on identity politics and Marxist theory, that tells you they have already completely lost the plot. Woke virtue signaling and responsible organizational decision making are like oil and water, one does not work with the other.
Many observers and analysts are appropriately pointing to woke-based decisions by SVB management as the culprit for the downfall. Reports are saying SVB chose “environmental, social, governance” (ESG) investing eschewing sound investment standards. This leftist scheme is nothing more than sleight of hand allowing the redirection of investment funds to enrich the left’s cancerous agenda.
Moreover, the New York Post exposed that the governing board of the bank was composed of leftist and Democrat Party activists and donors. For all entities drowning in woke, merit is not merely ignored it is considered inappropriate to be replaced by identity politics. Only one of the directors had investment banking experience. “SVB touted its diversity, though, noting in its 2022 proxy statement that 45% of its board are women, in addition to ‘other diversity’ like ‘one black’ member, ‘one LGQBT+’ and ‘two veterans,'” reported the Post. This virtue signaling by fetishizing certain kinds of people is typical of the woke cult.
Moreover, Fox Business reported SVB had no Chief Risk Officer leading up to the crash but employed a Diversity, Equity, & Inclusion Officer. Why? Because woke policy was the priority, not safe and proven best practices.
And now, courtesy of a new database created by the Claremont Institute and reporting by Just the News, we have learned that SVB and Signature Bank of New York, another failed woke bank, pledged or donated a shocking $71.5 million dollars to organizations affiliated with the Black Lives Matter movement.
While stunning, we also know the trouble regional banks are having is due in part to their treasury and bond assets crashing in value with the Federal Reserve Bank raising interest rates to combat Biden’s inflation crisis. Oh the tangled web the establishment weaves.
There are now all kinds of arguments and debates about which was more serious, who is to blame, and how to stop it from happening again. But it’s time to recognize that all of these details are linked to an attitude infecting most of our infrastructure. Whether it be banking, education, the military, business, law, and government itself, we are witnessing something akin to mass hysteria with the implementation of idiotic and dangerous Leftist demands which are designed to cause division, destruction, and failure.
A company or an institution which has succumbed to wokeness manifests publicly in a variety of ways. In the military it may be about pronouns, transgender extremism, and downgrading standards.
In education, it’s about erasing parental rights in the name of transgender extremism, pronouns, teaching of the Marxist critical race theory, and attempts to destroy standards and meritocracy.
No matter the kind of company or type of institution the primary signal of ultimate failure and impending collapse comes not from the symptoms of wokeness but the turn to it in the first place. The original management & leadership decision to turn away from original, sound missions and embrace the political requirements of a theory designed to destroy the American way of life and the functioning elements of western civilization dooms the involved entity.
The series of unforced errors leading to this bank crisis required leftist nonsense at every level. Ranging from Biden extending the government’s COVID emergency postition, pouring trillions into the system without considering the inflationary impact, pushing disastrous ESG policies, and encouraging woke policies throughout our national infrastructure, has led to the collapse of confidence, functionality, and cohesiveness in this country as a whole.
This mindless frenzy affects all of us as it leads to the failure of social cohesion and structural stability which all of our families rely upon. There are immediate things you’ve probably already engaged in to mitigate the impact of this new banking crisis. The very first thing that everyone can do now is make sure that your deposits, no matter what kind of bank they’re in, are covered by FDIC insurance. You can get the details in this New York Times explainer and at the FDIC. Current regulation insures accounts up to $250,000. These days, while you may conduct most of your banking online or through an app, now would be a good time for you to talk to a person in your bank branch to get an overview of what’s happening with your accounts and with the bank itself.
In the meantime your local and state representatives can also take steps to make sure that leftists embedded in important institutions do not continue to put your money and future at risk. To that point, a new coalition of governors are working together to forbid the use of pension money to fund leftist projects through ESG policies. AMAC Action has numerous resources with which you can engage to make a difference at every level. Now is the time to make sure your voice is heard!
Just because FDIC covers an individual’s checking and savings accounts up to $250,000 doesn’t mean a thing in today’s banking economy, as far as I’m concerned. How many people have gotten use to pulling out their plastic to pay for purchases made on any given day? I confess to being guilty of this practice myself. I went to my bank the other day, and asked for some check ledgers, cause my check ledger was almost full. The teller looked at me like, what are you talking about??
I had to speak with her manager and he had to scramble to find just one ledger. It scary, but with a few key stokes on a computer’s keyboard, a depositor can be made persona non grata in today’s financial environment, as well. You won’t exist in cyberspace. Per this article we can only hope brighter minds will prevail at keeping our assets safe from all the woke-ness so prevalent these days. This Country has gone down hill, since 45 left office!
We have been forced into putting our lives on the computer/internet. What happens when the power is turned off? The wife’s business was put on hold last week when her computer decided not to work. When my laptop shut down all contact with my Doctors and Labs was lost. We continue to write checks but as you experienced even the banks do not want to deal with written checks.
Remember the words uttered by China, Iran, Russia, and others—-“A new world order.” There are many regimes that would like to see us fail because if we fail so to does Freedom. Keep this in mind when you see Antifa freaks go free after destroying federal property while regular citizens are getting jail terms for the DC riots. Our freedom is at risk when criminals can go free and other citizens get hammered. There is no excuse nor injections for stupidity. The riots went to far. So we the citizens get hit with a $50 m bill for the hearings.
My first memory of “A new world order” was Daddy Bush, not China/Russia. At that time we should have revolted. We still haven’t revolted.
Let me see now, they paid the bonuses, they transferred $84 B where?? Part of their circle of control is Boston Private Bank and Trust. There legal front is CT Corporation which is a LLC which is owned by an LLC. The startling thing is that politicians are involved or is it startling. Where did all this money come from? Could it possibly be drug money laundering. Of course not these are ranking politicians and business people.
This needs somebody besides an amateur sleuth to look into this beyond WOKE etc.
The worst may be yet to come. The bailout has been done with your money in higher fees and higher borrowing rates. The worst will be a national digital currency. Then the federal government has complete control of what you spend and on what you spend it on.
The Progressive-Socialists’ agenda implementation that bloomed with Obama has been throttled ahead at full steam. They have had unimagined success so far. This tells them that they only need to double-down on their efforts and they will prevail against the Right, who has shown little in the way of staunch resistance, so far.
Given that, they will not quit or go away quietly. They must be neutralized by any means at our disposal. I might suggest that for every Illegal they deliberately allow to invade our country, we expel one of them in turn and nullify their citizenship.
First one to go is Biden, second Obama, third Pelosi, fourth Shumer and then the rest of the Democratic Party and Republicans that give in to the far left.
I don’t disagree with anything you’ve said up the last paragraph. Of course the Socialists see no reason to back off, as the right has simply caved in sequential fashion to each new attack on the country for years and years now. Weakness only invites aggression in almost all things. It never results in the aggressor giving up out of pity for the person or group being pummeled out of existence. The left in this country has no incentive to stop what they’re doing until they are forced to stop what they are doing. That unfortunately doesn’t seem to be in most Americans’ DNA anymore.
The only reason I don’t agree with your last paragraph is how would you envision we ever implement that strategy is the vast majority of the right in this country falls into what I call the sheep category? The same folks who have allowed the Socialists to get so far with their agenda, with no meaningful resistance ever being displayed, would have to suddenly grow a spine and act in a united manner to put an end to the systematic dismantling of our country. That is how other countries that have faced the threat of either socialism or communism have pulled themselves back from the brink before it was too late. Which is why I asked the question. Absent that, it is far too late to expect politicians to be able to solve any of this. Most are way over their heads in dealing with most issues at this point. The left has already taken over too many parts of the government at this point for legislation to be the answer. Just look at the priorities of the leadership of the DOJ, FBI and other federal agencies. Do you think any of them fear what legislation might come out of Congress at this point. They already openly violate laws on the books and ignore most attempts at oversight.
The bank failures may be the socialist/communist influence showing itself and the plan to eventually wipe out the middle class and all but those in power in the rich class. As banks fail, the FDIC has no money and government will print more to pay the insurance amount. That reduces wealth to $250,000 if you have invested in a bank, and that $250,000 has a reduced value because of the government printing worhtless money. Some of us remember illustrations in history books showing people taking a wheelbarrow of money to the grocery store. I bring that up because it documents the view of what happened in the past. There are no protections that can prevent it happening again. All it takes are politicians spending us into unpayable debt and banks investing in overvalued securities.
According to these articles, Bank of America supported Black Lives Matter and stacked the deck against white homebuyers. If I had the monies, I would sue Warren Buffet, who owns Bank of America.
Bank of America, meanwhile, provided $18.25 million to BLM. Other businesses also listed that gave to BLM
The picture heading in the newsletter with the link below needs to be more accurate. It shows not wealthy people to invoke sympathy instead of showing the majority if not all, banking at this bank is investors and businesses. There is no way the Federal Reserve, insurance, etc., can repay; sooner or later, the taxpayer is paying this. Even though the Pentagon is rescuing specific sectors of businesses at this bank, this payback comes from taxpayer monies because the taxpayer is what supports the Pentagon/military.
These businesses are nothing more than PURE communist supporters that push the communist agenda.
We have progressed into gross crony KLEPTOCRATIC God-less capitalism today. (ruled by thieves in a state of unrestrained political corruption.) (A government by those who seek chiefly status and personal gain at the expense of the governed.) Public corporation’s are not separate from politicians they are full scale in bed with them. ESG – Elite Socialist Governance
With people like Obama and H. Clinton on Bank Boards and pushing Loser WOKENESS the Bank and Education institutions will continue to FAIL.
As I have said many a time;
GO WOKE, GO BROKE.
They proved my point for us.
Not too bright, are you???
Let your state treasurer know and Brandon not to invest any money in ESG companies like Black Rock. I have done so and every American should do so at least the ones that have savings accounts in any bank.
Second the 5 largest banks have to be audited and their assets and obligations published in every newspaper and explained by the MSM. To reach every American. This could become a part of the open administration Brandon talked about on his Inauguration Day. For all his talk about being open it has not happened almost 2.5 years in.
Lies and lies is all we hear.
I”m having trouble understanding the SVB bank failure . I’ve heard that the deposits on hand earn little which i believe means that depositers don’t get much interest on their deposits . I’ve also heard that SVB holds T notes that pay more in interest . How is this a problem ? I’ve also heard that the Officers of the bank gave themselves huge golden parachute bonuses . And that they approved loans (?) to Democrat BLM affiliated organizations . So, this bank is GIVING money away ? That would clearly be a problem . I understand that it also give money to other Democrat polls . Were they giving away depositers deposits ? If so , isn’t that called bank robbery ? And after they gave away much money to various Democrat polls and Dempocrat organizations , they then gave themselves huge bonuses from Depositers’ deposits too ? It looks like they gave away the deposits . This , of course , would trigger a collapse on the price of SVB’s stock . How does a stock price collapse trigger a governmente bailout ot the stock-holders , and SVB’s stolen deposits ? Is this why the Democrat ruled Treasury , Democrat President and Democrat Government are now bailing them out ? And, it looks like the bank’s Officers apparently KNEW that the Democrat government officials would bail them out . So they took as much as they could before the stock collapsed . Isn’t this really a story about a bank heist and a coverup by idiot Democrat politicians ?
This bank became an Enron Co or like an FTX. It looks to me they were a front to funnel money to the dems and BLM. For both gave huge amounts of money to the dems. And employees partied till the last day.
Black Rock skims what you should have made!! It goes to, guess what? Climate Change!!!! Typical communist in the New World Order. Wake up people. Many smart cities have pulled their employees retirement funds and moved them from Black Rock!!! I invest through a company that also works with BR, many do in smaller ways. Told my guy , I want nothing of mine in BR…. As it is we all may need to get out of IRA’s and 401K’s at 10% rather than 20-40% under Biden’s new budget!!!!
and SVB is in Nancy Pelosi’s back yard !!
It is obvious to me that putting racial quotas on employment, education is forcing companies to not higher the best candidate for the job in probably most cases. Therefore how can you not expect a watered down version of a business or educational resulting product or operation?
Very good, informative, important article Tammy, It should be appreciated by all who are interested that you mentioned the new coalition of governors and AMAC Action , the work being done to counteract the treachery of the woke element in banking. The more complex a matter presents itself, the more indication that truth is under attack . What you have written is an honest opinion of the situation and it is appreciated.
Leave it to the left. If it can be messed up they will do it.
See, your thinking is part of the problem. You think they’re all just incompetents making stupid mistakes. But, it’s all part of their Plan. The incompetent idiots that are installed in high places don’t really matter. They’re just propaganda fodder. The puppet masters behind the scene are the real danger and the ones implementing the destruction & havoc.
I have seen what these Socialist and Woke ideas are doing to the people 30 and younger. They want a free ride and given what I worked hard to get. There are jobs to be had if you want to work. I chased the dollar all over and made a great living. The Political parties of today want to give the Collage kids a free ride, I paid for my kid school buy working extra hours and side jobs.
The Socialist ideas must be stopped, or this Country will fall apart. I will fight to see both buried.
You won’t bury the Socialist ideas without burying the Socialists themselves.
Lose stock value
Seek other sources
Or NO change
Credit Union Banks may be better
Their woke focus is on ESG. ESG is never going to work. Guess all those with a 2×4 mentality and will need to go to the school of hard knocks.