RE:Clever accounting tricks used by SVB You're right, but I wouldn't call it an accounting trick. The hold to maturity MBS were reported at face value, since if they were really held to maturity, that's the amount you would receive and at the end, there would be no gain or loss (the premium or discount on purchase is amortized through the life of the security on the earnings report). While it is true that under a liquidation scenario, the value showed doesn't hold, accounting statements always represent "continuing" business valuations and never represent liquidation value.
Imo, SVB should have had significantly more laddered durations on their securities. Otherwise, they should have put a higher proportion of securities under the "available for sale" category. Either way, it may not have saved them because no banks have a 25% withdrawal within 7 days scenarios (the cost of sustaining those scenarios would be too high for banks to be functioning).
The new program is the right answer, imo, since it will prevent bank runs as depositors will have enough confidence their money is safe.
This turn of event is the best outcome for AT under these circumstances.