Wall Street banks launch $30bn rescue of First Republic to stave crisis

Eleven banks involved

Eve Maddock-Jones
clock • 1 min read

A group of major US banks have collaborated to deposit $30bn into First Republic Bank, in an attempt to shore up its finances and stem the fallout amid the wider US regional banking turmoil.

JP Morgan Chase, Bank of America, Citigroup and Wells Fargo will each deposit $5bn into First Republic; Goldman Sachs and Morgan Stanley will put in $2.5bn apiece while BNY Mellon, PNC Bank, State Street, Truist and US Bank are depositing $1bn each. In a combined statement, the banks said the actions "by the largest US banks reflects their confidence in the country's banking system and helps ensure First Republic has the liquidity to continue serving its customers". US regional banks face challenging future in the aftermath of SVB blowup It added it "demonstrates the overall commit...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on US

Investor demand meets 'relentless supply' of record-breaking US Treasury bond sales
US

Investor demand meets 'relentless supply' of record-breaking US Treasury bond sales

Government attempts to plug debt vacuum

Eve Maddock-Jones
clock 08 February 2024 • 4 min read
Jerome Powell: Fed united in cutting rates this year
US

Jerome Powell: Fed united in cutting rates this year

Timing brings risks

Eve Maddock-Jones
clock 05 February 2024 • 2 min read
T. Rowe Price's Ritu Vohora: US small cap stocks offer strong fundamentals and cheap valuations
US

T. Rowe Price's Ritu Vohora: US small cap stocks offer strong fundamentals and cheap valuations

Soft landing prospects

Ritu Vohora
clock 01 February 2024 • 4 min read
Trustpilot