Cash balances — is it time to increase the guarantees?

Depositors and investors look to cash as a safe harbour

clock • 4 min read

There are many lessons to be learnt from the recent banking crisis, writes Douglas Kearney. Here he shares his thoughts on the aftermath of the recent situation

It was Friday, 9 March this year that a bank few had ever heard of hit the headlines. It was the 16th largest bank in the US. Silicon Valley Bank (SVB) was under immense pressure. It was dubbed the world's first Twitter fuelled bank run. It has been reported that around $42bn was withdrawn in a few hours on that Friday. Although it could be argued that SVB was a very different type of bank with a concentrated depositor base and allegedly some issues with risk management and interest rate movements, it nevertheless failed. SVB was quickly followed by other US regional banks namely Sign...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Pensions

PCLS after age 75: Addressing a common misconception

PCLS after age 75: Addressing a common misconception

Pension legislation does not impose an upper age limit on the payment of PCLS

Caitlin Southall
clock 14 August 2026 • 4 min read
The AI ship has sailed and pension providers are still sitting on the shore

The AI ship has sailed and pension providers are still sitting on the shore

'The AI interface has arrived'

Jonathan Lister Parsons
clock 13 August 2026 • 6 min read
CRM integration project highlights AI-powered innovation potential

CRM integration project highlights AI-powered innovation potential

Project reflects a broader shift in adviser technology

Joe Power
clock 04 August 2026 • 3 min read