Seems a bit pedantic, MBS are basically bonds. The important part is the 10 year term.

Perhaps but I’d argue it makes a huge difference.

Svb had to sell at a huge loss for two reasons.

- the duration risk, this applies to both assets. Though shortened dates treasuries would have far less loss due to duration than MBS would.

- the size of the trade compared to the market. Treasuries are treasuries but each MBS has specific terms that make the market for them much smaller.

This only affects their MBS

If the held treasuries they’d be in far better shape due to the much smaller haircut they’d take.

Sadly this wasn’t th care.

It says 10+. I wonder what the average duration is.

According to their filing[0], the securities they were forced to sell at a loss had durations of 3-6 years.

[0]: https://www.sec.gov/Archives/edgar/data/719739/0001193125230...