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Comment by Quarrel

They're a bank.

They have capital ratios to maintain.

If the underlying assets (the assets backing the bank), move in value, then they need to provide extra capital from somewhere. This is them securing that capital base that they need due to the change in value of their current assets (largely US treasuries and mortgage back securities- this isn't really about the value of their tech portfolio).

parent Quarrel 3 years ago

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