ETFs the ‘Go-to place to get liquidity’ Amid SVB Collapse

As the fallout of Silicon Valley Bank’s collapse ripples across the banking sector, financial experts point toward the exchange-traded fund market as the “go-to place to get liquidity and to see what the market expects.” In an interview with CNBC, John Davi, founder and CEO of Astoria Portfolio Advisors, pointed out that ETFs act as a benchmark for the banking sector, and amid the market volatility, “People look at the ETF as a price discovery tool.” The SPDR S&P Bank ETF (KBE), which includes holdings in Silicon Valley Bank, as well as Voya Financial Group and Citigroup ($C@US), fell nearly 24 percent since the start of last week. The SPDR Bloomberg 1-3 Month T-Bill ETF (BIL) and iShares Short Treasury Bond ETF (SHV), which contain treasury bill holdings, amassed significant inflows since the beginning of March.