David Sochol

[David Sochol @DSochol]

@realMaxAvery @patrick_oshag I would say incentive drives outcome. Granted the incentives may be part of the structure, but in the end incentives will overpower structure.

[David Sochol @DSochol]

@GuyDealership Higher b repair costs due to those safety/tech enhancements is key reason. Side view mirror used to cost $200. Now it's like $1000. Add in higher labor, more storms. Also distracted driving. People drive faster but react slower - accidents happen at higher speeds, less braking.

[David Sochol @DSochol]

@bankingslut Ok, thanks.

[David Sochol @DSochol]

@depositgatherer @jimmymoncrief You're probably right but I attended the Owl Rock investor day 2 weeks ago and I think that slide was part of it. But I'm sure the parent Blue Owl (OWL) also presented it previously.

[David Sochol @DSochol]

@jimmymoncrief @depositgatherer It was from Blue Owl's (OWL) subsidiary Owl Rock's investor day 2 weeks ago. Their publicly traded BDC is ORCC.

[David Sochol @DSochol]

@depositgatherer This action aligns perfectly w/the C-suite's incentives. They are far more motivated to drive a higher stock price than a bigger dividend. Yes, the Fed prefers buybacks over dividends as the former can be stopped while a div'd cut risks a meltdown, but that def wasn't the reason.

[David Sochol @DSochol]

@the_red_deer Life insurance stocks ... where value goes to die. There's a reason Buffett owns P&C re/insurance companies - and no life insurance companies.

[David Sochol @DSochol]

@nolimitlearn @INArteCarloDoss That is a very interesting insight because many bank bulls are counting on lower interest rates to reduce (i) the banks' inv sec MTM losses, and (ii) depositors' ongoing movement and yield maximizing behavior driving up funding costs and driving down NIMs.

[David Sochol @DSochol]

US proposes tighter oversight of non-banks posing systemic risk.
Brilliant move. Bank regulators completely missed interest rate risk & deposit concentration & did faulty exams of SIVB, so they should attack the sector that doesn't take deposits or borrow from the Fed or FHLB.

[David Sochol @DSochol]

@DiMartinoBooth Heads or tails I win. There will be NO negative consequences to any bank execs, board members, or examiners for the failures of SIVB, SBNY & FRC. The huge impact to the rank & file - job losses, uprooted lives, savings decimation, and community harm means. Thanks for playing.

[David Sochol @DSochol]

@jspeiser @askjussi @KonekoResearch Interested in your rationale, thanks

[David Sochol @DSochol]

@stonkmetal Insider ownership

[David Sochol @DSochol]

@Keubiko Yes

[David Sochol @DSochol]

#FinTwitt #CS
How could this tragic CS outcome been avoided? Having watched a dapper parade of perfectly tailored suits cycle through numerous Chairman, CEO, CFO, etc roles for the past 10+ years, one thought is maybe don't have only men in the most senior positions running CS

[David Sochol @DSochol]

@DiMartinoBooth @DrDuck057 Biden

[David Sochol @DSochol]

@Samurai_Capital Enjoy your thoughts.
I don't know mtd but bbg headlines show recent insider sales but maybe that has been the norm

[David Sochol @DSochol]

@INArteCarloDoss Ken Moelis on MC's earnings call said the same - most companies are performing well, seeing little evidence of any distress or defaults looming. The financing markets are beginning to open. Fears about firms hitting the large debt maturity wall in '24/25 is abating/being managed.

[David Sochol @DSochol]

@realEstateTrent Being a public company

[David Sochol @DSochol]

@GuyDealership The mortgage lender will force place homeowners insurance on you if you cancel. The lender monitors this and gets a notice of you lapse. But there is nothing similar for cars.