This is not another financial crisis
Famed financier and healthcare expert Michael Milken doesnt think the US is trapped in a banking crisis, but the turmoil does offer an important lesson for investors, management teams, and regulators. “This is not the 1980s, it‘s not the 1970s, it’s not the Great Financial Crisis,” Milken told Yahoo Finance Live at the 2023 Milken Institute Global Conference (video above). “But its a lesson again that we need to match those that buy long-term assets with those that have long-term liabilities like pension funds, insurance companies. And that our financial institutions cannot run a mismatched book of short-term liabilities and long-term assets.” Others in the banking space seemed to have forgotten that playbook. Regulators seized regional bank First Republic (FRC) early on Monday and sold a majority of the banks operations to JPMorgan (JPM) in the largest bank failure since the 2008 financial crisis. For JPMorgan, the crisis purchase is nothing new: The bank purchased Washington Mutual and Bear Stearns at the height of the Great Financial Crisis more than a decade ago at firesale prices. Sumang-ayon ang JPMorgan na kunin ang $173 bilyon na mga asset, $30 bilyon sa mga securities, at lahat ng $92 bilyong deposito ng First Republic. The deal is expected to