Submission Details

Module $3$: Discussion $--$ The Organization and structure of Banking and the Financial Services Industry

Angela David submitted Jan $20$ at $4$:$54$pm

Of the business activities listed, which activities can be conducted through U$.$S$.$ regulated holding companies today?

There are two types of holding companies, BHCs and FHCs$.$ BHCs are bank$-$holding companies that are corporations chartered for the purpose of holding the stock $($equity shares$)$ of at least one bank, often along with other businesses. Moving away from traditional banking, under the Gramm$-$Leach$-$Bliley Act, FHCs were created. They are BHCs that offer a broad range of non$-$banking financial services. FHC services include insurance underwriting, securities dealing, merchant banking, underwriting initial public offerings $($IPOS$),$ and investment advisory services.

Data processing companies $-$yes

Office furniture sales $-$no

Auto and truck leasing companies $-$yes

General life insurance and property$-$casualty insurance sales $-$yes