Bank runs in 2023: assessment and policy implications for liquidity risk

Bank runs in 2023: assessment and policy implications for liquidity risk management

Dr. Richard Senner, Financial Stability Dept., Swiss National Bank

Tuesday 16th September 2025: 1700 BST / 1800 CET / 1200 EST

The Certificate of Bank Treasury Risk Management (BTRM) and University of Northwestern Switzerland (FHNW) are pleased to bring the next in our occasional series of "Thought Leadership" webinars for banking markets. Dr. Richard Senner presents results from a paper co-authored with U. Bindseil (ECB), which assessed the 2023 bank failures. The markets witnessed rapid and large deposit outflows from medium-sized US regional banks as well as Credit Suisse, in all cases leading ultimately to those banks's demise. Richard's lecture will look at where bank deposits flowed out to, as well as current and prospective future factors that may contribute to the increase of the speed and size of bank runs. Bank ALM managers must accept the new normal of less stable and more expensive sight deposits, as well as other "lessons learned".

Richard Senner works at the Financial Stability Division of the Swiss National Bank (SNB) on banking regulation, NBFIs (non-bank financial intermediaries), Fintech and climate risk. Prior to that, he worked at the Directorate-General Macroprudential Policy and Financial Stability at the European Central Bank (ECB). He gained a PhD in Macrofinance at the ETH Zurich and studied economics at the University of Mannheim and at Yale University. Earlier in his career, Richard Senner studied Physics at ETH Zurich and ENS Paris. His publications include, Explaining Global Imbalances: The Role of Central Bank Intervention and the Rise of Sovereign Wealth Funds (with D. Sornette, 2021), Stablecoins’ Quest for Money: Who Is Afraid of Credit? (with M. Chanson, 2023), and The globalization of climate change: How Interconnected Economies Amplify Physical Risks (with S. Fahr and A. Vismara, 2024).