Analysis and Evaluation of Bank Failure: Evidence from Silicon Valley Bank

Abstract

As a matter of fact, bank failure always plays a key role in financial analysis, since this is usually the critical reason for financial crisis and systematical risks. With this in mind, the object of this study is the foreign bankrupt bank Silicon Valley Bank, which currently has huge impacts on global financial market. In reality, the importance of the study is that the banking system is not only related to individuals’ daily life, but also affect national economic lifeline and the development of the world economy. On this basis, the article mainly expounds some important reasons for the bankruptcy of silicon valley banks and the reflection it brings based on the data analysis. At the same time, the impacts on the US market as well as global market will be demonstrated. In the meantime, the corresponding suggestions for the bank industry as well as Chinese banks are proposed according to the analysis.