H.R. 5291 · 119th Congress
Merchant Banking Modernization Act
Status: In committee
- Introduced (done)
- Committee (current)
- Passed House
- Passed Senate
- To President
- Law
Latest action
: Placed on the Union Calendar, Calendar No. 320.
Summary
Merchant Banking Modernization Act
This bill requires financial holding companies to be allowed to hold merchant banking investments for a minimum of 15 years.
Currently, financial holding companies are generally prohibited from holding interests in nonfinancial companies, however, there are statutory exemptions for merchant banking activities—financial services for private commercial entities. As a result of these financial services, the financial holding company may gain equity in these private commercial entities through portfolio holdings. Under current regulations, these holdings are subject to certain limitations, including a holding limit of 10 years, with the option of extending the period subject to review by the Federal Reserve Board.
Summary by the Congressional Research Service.
Actions
- House
Placed on the Union Calendar, Calendar No. 320.
- House
Reported (Amended) by the Committee on Financial Services. H. Rept. 119-368.
- House
Ordered to be Reported (Amended) by the Yeas and Nays: 35 - 17.
- House
Committee Consideration and Mark-up Session Held
- House
Referred to the House Committee on Financial Services.
Introduced in House