Why did First Republic fail and will other banks follow?

People walk past the headquarters of First Republic Bank in San Francisco (Haven Daley/AP)

First Republic Bank has become the second large US regional bank with assets over 200 billion dollars (£160 billion) to fail in just a few weeks.

Like Silicon Valley Bank, which was seized by the government on March 10, First Republic catered to a wealthy clientele, which helped it grow deposits rapidly but may have also contributed to its undoing. The bank’s business model left it susceptible to a sudden rise in interest rates.