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BENCHMARK CASE

Silicon Valley Bank 2021 MD&A

Could a Board Risk Committee identify material liquidity, rate, and concentration risks before failure?

  • Document

    Silicon Valley Bank 2021 Form 10-K — Management Discussion & Analysis

  • Objective

    Could a Board Risk Committee identify material liquidity, rate, and concentration risks before failure?

  • Methodology

    Identical prompt, identical document, identical context window across NDOR, ChatGPT Plus, and Claude Pro. Scored on executive decision-relevance: did the output produce a usable basis for committee-level action under the question asked?

FINDINGS PER SYSTEM

What each system surfaced

NDOR
  • $166B uninsured deposits concentrated in a single behavioural cohort.
  • $98.2B HTM securities — accounting election locking in market-value loss exposure.
  • AFS-to-HTM migration named as a strategic risk-shifting decision, not a presentational matter.
  • CECL governance and provisioning judgements flagged as inconsistent with the asset profile.
  • Correlated depositor behaviour modelled as the dominant escalation mechanism.
ChatGPT Plus
  • Venture-funding cycle reversal identified as a triggering scenario.
  • Deposit and sector concentration concerns surfaced.
Claude Pro
  • Duration mismatch warning surfaced clearly.
  • Rising-rate exposure flagged.
VERDICT
NDOR produced the strongest board-action framework — naming the specific behavioural and accounting mechanisms by which the disclosed positions would convert into a liquidity event. The comparators surfaced the headline risks; only NDOR turned them into actionable risk-committee items.

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