000			01568nam a22001577a 4500
005			20241011074600.0
008			241011b ph ||||| |||| 00| 0 eng d
040			_cOCT
100			_aMishler, Mark
240			_aJournal of Accountancy / _hSeptember 2023
245			_aIdentifying and analyzing the risks of 'risk-free' securities : _bA thorough financial analysis and risk assessment of debt security assets and bank equity values shows the threat of bank failures was in plain siight / _cMark Mishler
300			_aVol 236 (3) pages 10-15 : _billustrations ; _c28 cm
500			_aInterest rate increases result in unrealized losses for held-to-maturity debt security investments, but these losses do not appear in the financial statements (as long as there are no impairment losses). These losses appear only in the financial statement note disclosures. As a result, traditional liquidity and capital ratios may appear too favorable and distort investment decisions. Furthermore, the risk-free designation for Treasury and Agency debt securities applies only to default risk. Many financial statement users rely too much on this risk-free default designation and should consider other risks. Silicon Valley Bank was the first of three banks that failed in March 2023 and were seized by government regulators. All three were unable to repay depositors who withdrew their money in droves after rising interest rates devalued the banks' investments in bonds, which banks had to sell to fund deposit withdrawals
653			_aManagement accounting
942			_2ddc _cCR _n0
999			_c9760 _d9760