credit card, card, wallet-1104960.jpg

Today in the Market (5/1/2023)

Good Evening! As Wall Street processed JPMorgan Chase’s acquisition of regional lender First Republic Bank, U.S. equities fell slightly under Monday.

The S&P 500 slid barely by 0.04%, while the Dow Jones declined by 0.14%. The Nasdaq Composite fell 0.11%.


This Morning, the government seized First Republic Bank and sold most of its assets to the largest bank in the U.S., JPMorgan Chase (JPM).

So what happened to get to this point? First Republic attempted to withstand the winds of collapse on its own. However, it was not enough after customers withdrew more than $100 Billion in deposits in Q1 of this year. This resulted in the share value plummeting by almost 75% last week. This is where the government stepped in and closed it for good.

What does JPMorgan get out of it? JPM will acquire the $92 Billion in deposits that remained in First Republic. This helps the government by not having a repeat like with SVB collapse, which cost the FDIC’s Deposit Insurance Fund around $20 Billion.

A common theme… The government-brokered acquisition is just the latest example where larger banks acquire smaller failing banks at a discount. Another example was First Citizens acquiring the remains of SVB or UBS buying Credit Suisse for $3.3 Billion back in March.


credit card, card, wallet-1104960.jpg

In light of Silicon Valley Bank’s failure, the FDIC proposed an increase in deposit insurance for business payment accounts at banks. However, this would require congressional approval.

Why? When the Santa Clara bank failed, technology companies and venture capital firms with deposits at Silicon Valley Bank exceeding the FDIC’s $250,000 maximum risked not having sufficient funds to pay employees or suppliers. To guarantee uninsured deposits, regulators invoked special authorities.

So what does the FDIC suggest? The FDIC proposes two alternative possibilities for overhauling the deposit insurance system in the report. This includes extending limitless coverage, completely insuring all accounts, or preserving the present system with the possibility of increasing the cap from the current $250,000 per account.

Companies only! The FDIC warns that providing greater coverage for business accounts may be exploited by people, trusts, or estates that aren’t actually company accounts and that legislators must clearly specify the requirements for qualifying accounts

Scroll to Top

Where Are You On Your Investment Journey?




All investors are unique.  The above characteristics are examples, but may not reflect your particular investor demographics or situation.  An advisor with Edgar Investment Management, LLC will assist you with finding the best type of account for you. 

Investment advisory services are offered through Edgar Investment Management, LLC, an investment advisor registered with the State of Texas. Edgar Investment Management, LLC only offers investment advisory services where it is appropriately registered or exempt from registration and only after clients have entered into an investment advisory agreement confirming the terms of engagement and have been provided a copy of the firm’s ADV Part 2A brochure document.

The content found on this website is developed from sources we believe provide accurate information and is for educational purposes only. The information on this website is not intended as tax or legal advice. Everyone’s tax and legal situation is different, so please consult trusted and knowledgeable legal or tax professionals for specific information regarding your individual situation. The opinions expressed and material provided on this website are for general information, and should not be considered a solicitation for the purchase or sale of any security.

Material and information found on this website is not intended as an offer or solicitation for the sale or purchase of any specific security, mutual fund, ETF, bond, or investment strategy.  

Investing is risky!  No guarantee as to performance of any investment is implied by this website.  Make sure you have evaluated your options and spoken with trained professionals before you implement any investment strategy.  Past performance is not indicative of future results.  

Please be advised that Edgar Investment Management, LLC is a financial advisory firm specializing in investment management and financial planning services. We do not offer or provide any CPA-related services, including tax preparation, tax planning, or other accounting services. If you require assistance with tax-related matters, we recommend consulting a qualified CPA or tax professional who can provide specialized advice tailored to your individual needs.

Edgar Investment Management, LLC is not a Public Accounting firm.


Contact Us

Best time(s) to contact you?
Best method(s) to contact you?

Contact Us

Best time(s) to contact you?
Best method(s) to contact you?

We would love to hear from you! Please fill out this form and we will get in touch with you shortly.

  • About You

    Tell us a little about yourself. Don't be shy. Let's be friends.
  • How Can We Reach You?

    We would love to chat with you. How can we get in touch with you?
  • What's on your mind?

How much do you want to invest?