A new review of the 2023 failure of Silicon Valley Bank finds that Federal Reserve supervisory staff “knew or should have known” the bank faced significant vulnerabilities. Fed Vice Chair for Supervision Michelle Bowman says the report indicates staff missed or did not act on warning signs before the collapse.
Both outlets describe Bowman’s remarks as critical of the Fed’s supervision process in the lead-up to the failure, framing the issue as a lapse in recognizing risk. The review is based on initial findings from an independent consulting firm, according to the reporting. The accounts focus on whether supervisors identified relevant risks early enough, rather than on new facts about the collapse itself.
Taken together, the coverage emphasizes that the report points to supervisory shortcomings in the period before Silicon Valley Bank’s failure. While the outlets differ in wording, they align on the central claim that Fed staff should have been aware of the vulnerabilities well before the bank ultimately failed.
