With the collapse of Silicon Valley Bank, do you need to worry if your bank is next? Dr. Tim Nash, director for The McNair Center at Northwood University, says probably not. SVB was unique, with an average deposit $1.67-million, which is much higher than your average deposit found in Michigan. But it could effect the region in other ways.
“If you look at Comerica stock as an example, even though it’s now headquartered in Dallas, it still has a tremendous amount of banking activity in Michigan. Comerica stock was down substantially (Monday) so the market could be saying that there are issues unique to the Midwest or where Comerica does much of its banking.”
Dr. Nash mentions to watch the stocks of a lot of banks that are regional, rather than the national. Comerica ended Monday down 27.5%.
