- First Republic Bank shares fell 80% in a little over a week, while other regional bank stocks recovered.
- First Republic announced that it will receive uninsured deposits of $30bn on March 16, 2023, from several banks.
- The bank declared that it has $34bn in cash in addition to the $30bn just deposited.
- First Republic holds a ton of big home mortgages on its balance sheet, about half of its total assets.
- First Republic has been borrowing heavily from the Federal Reserve and the Federal Home Loan Banks.
First Republic’s red flags
First Republic Bank shares fell 80% in a week due to concerns over its balance sheet, despite receiving $30bn in uninsured deposits from several banks.