Hi Shardhr,
You have put forward the investment thesis nicely comparing SCUF to Wells Fargo investment made by Buffett. One area where SCUF differs from Wells Fargo is the low cost liability franchise. Being a bank, Wells Fargo would have access to low cost and sticky deposits from customers. SCUF doesn’t have that and thus depends on the kindness of banks and debt markets for funding.
This I see as one of the biggest challenges and pain points for SCUF. Even though they have a strong grip on the asset side, the liability side of the business is weak.
Disclosure : Invested