In a shocking turn of events, Mike Wreck, the “vice chairman for supervision” has come out to talk about a recent bank failure. According to Wreck, the bank in question didn’t do a great job “managing its interest-rate and liquidity risk.”
Well, no duh!
I mean, come on, that’s like being a firefighter and not knowing how to extinguish a fire. It’s like being a doctor and not knowing how to perform CPR. It’s like being a chef and not knowing how to boil an egg.
I mean, seriously, how hard is it to manage interest rates and liquidity? You just need to keep an eye on things, make sure everything’s in order, and voila! You’re good to go.
But apparently, this bank couldn’t even manage that.
So, what happened next? Did Wreck give the CEO a stern talking to? Did he hand out punishment like Oprah handing out free cars?
Nope.
Instead, Wreck just sort of shrugged his shoulders and said something along the lines of, “well, that’s a bummer.”
Really? That’s it?
I mean, I’m no expert in banking, but even I know that’s not a great response.
But hey, who am I to judge? Maybe Wreck is onto something. Maybe we should all just shrug our shoulders and move on when something goes wrong.
So, if you see me making a mistake in the future, don’t be surprised if I just give you a little shrug and say, “well, that’s a bummer.”
Thanks for the lesson, Mike Wreck! I owe you one.
