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Swedish Pension Fund Sells First Republic Bank Shares

Alecta, Sweden's largest pension fund, has sold all its shares in First Republic Bank at a staggering $728 million loss, as reported by Yahoo. This move comes from recent rescue efforts by major US banks to save the plummeting stock prices.

First Republic Bank logo
First Republic Bank logo

US Banking Crisis Affects First Republic

In the past few weeks, the closure of Silicon Valley Bank has triggered a crisis in the US banking sector. First Republic Bank faced a similar fate, prompting the industry to take corrective measures. As one of Sweden's largest financial entities, Alecta has decided to act.

Alecta Sells Shares at $728 Million Loss

The US has experienced its biggest banking failures since the 2008 financial crisis, with the collapse of Silicon Valley Bank and Signature Bank. The Federal Reserve intervened to protect depositors in response. Alecta, Sweden's largest pension fund, has sold its First Republic Bank shares at a huge $728 million loss, following the bank's need for a massive rescue effort by some of the country's largest banks.

Yahoo Reports on Alecta's Decision

According to Yahoo, Alecta spokesperson Jacob Lapidus confirmed that the pension fund had sold all its shares in the struggling US lender First Republic Bank at a loss of $728 million.

First Republic Bank Experiences Market Rebound

CNBC reports that First Republic Bank's stock jumped 40% today, attributing the small rebound to statements made by Treasury Secretary Janet Yellen earlier in the day.