Which banks does the Federal Reserve System supervise and regulate? What is a bank holding company?
The Fed has primary supervisory responsibility for two major categories of banking organizations: state-chartered banks and their subsidiaries that are members of the Federal Reserve System, and bank holding companies, including financial holding companies and any of their nonbank subsidiaries. As a part of the Gramm-Leach-Bliley Act, the Fed’s role as an “umbrella” supervisor of bank holding companies was expanded to include financial holding companies and their nonbank subsidiaries. A bank holding company is simply a company that may own many banks. A bank holding company can choose to obtain a financial holding company status so that it may engage in a broad array of financially related activities. More about the Fed’s supervisory responsibilities (PDF 71 KB).
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- Which banks does the Federal Reserve System supervise and regulate? What is a bank holding company?
- What banks does the Federal Reserve System supervise and regulate? What is a bank holding company?
