KBRA Financial Intelligence

Signature, Silicon Valley & Silvergate Banks Held More Than 95% of Deposits in Their Home State

The collapse of the three regional banks highlights the risks of lenders holding large concentrations of deposits. Virtually all deposits held by the failed lenders originated from their home states, according to data compiled by KBRA Financial Intelligence. That concentration coupled with a large proportion of uninsured deposits left the lenders vulnerable to a bank run.

Depositors withdrew $42 billion from Silicon Valley Bank – about a quarter of its deposits – in one day leading to a run on the lender, according to the California Department of Financial Protection and Innovation. KFI Pro users can easily compare deposit concentrations, across almost 5,000 U.S. banks. Subscribers can use the Summary of Deposits data to identify deposit risks by state and region on the Industry page of the KFI web application.