Signature Bank shares rally after it discloses minimal exposure to FTX

Signature Bank shares jumped 8% on Tuesday after the financial company said its crypto currency deposit exposure to bankrupt digital money broker FTX amounts to less than 0.1% of its total deposits as of Nov. 14. “[The] update reveals the resiliency of the digital deposit franchise and is much stronger than [the] market’s worst case scenario in wake of FTX turmoil,” Jefferies analyst Casey Haire said in a research note. Signature Bank said its deposit balances in the digital asset arena remain stable when compared with balances of $23.5 billion on Sept. 30. Overall, Signature Bank reiterated that it does not lend on digital assets, invest in digital assets or custody any digital assets for any of its clients. It offers traditional deposit banking, including cash and treasury management services, to institutional entities.

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