Bank Powers:
Bank Holding Company Securities Subsidiaries' Market Activities Update
GGD-91-131: Published: Sep 20, 1991. Publicly Released: Sep 20, 1991.
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Pursuant to a congressional request, GAO investigated bank holding company subsidiaries' bank-ineligible securities underwriting activities, focusing on: (1) the number of firms involved in such activities and the volume of their activities and their assets, revenues, and capital; and (2) regulatory revisions proposed by the Federal Reserve.
GAO found: (1) the Federal Reserve authorized 35 banking organizations to set up Section 20 firms to underwrite and deal in one or more of four types of bank-ineligible securities, and each had done so, but 4 firms ceased operations, 2 allowed their authority to lapse before beginning activities, and only 25 of the remaining 29 firms engaged in bank-ineligible activities; (2) at the end of 1990, the total revenues of Section 20 subsidiaries represented 11 percent of the securities industry's revenue, but revenues from bank-ineligible activities represented less than 5 percent of the Section 20 subsidiaries' total revenues; and (3) section 20 firms' capital amounted to about 6 percent of the security industry's capital, and 8 Section 20 firms were among the top 50 U.S. securities firms when ranked by capital. GAO also found that the Federal Reserve Board has proposed and issued modifications to: (1) ease the prohibition on director interlocks between Section 20 firms and insured depository affiliates; (2) ease the marketing activities restrictions by insured banks; (3) amend the restriction regarding a bank or thrift's purchase of financial assets from or sale of assets to an affiliated Section 20 firm; and (4) revise the restriction regarding investment advisory activities of bank holding companies.
Dec 16, 2020
Financial Stability:
Agencies Have Not Found Leveraged Lending to Significantly Threaten Stability but Remain Cautious Amid PandemicGAO-21-167: Published: Dec 16, 2020. Publicly Released: Dec 16, 2020.
Dec 10, 2020
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Federal Reserve Lending Programs:
Use of CARES Act-Supported Programs Has Been Limited and Flow of Credit Has Generally ImprovedGAO-21-180: Published: Dec 10, 2020. Publicly Released: Dec 10, 2020. -
Financial Assistance:
Lessons Learned from CARES Act Loan Program for Aviation and Other Eligible BusinessesGAO-21-198: Published: Dec 10, 2020. Publicly Released: Dec 10, 2020.
Sep 22, 2020
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Anti-Money Laundering:
Opportunities Exist to Increase Law Enforcement Use of Bank Secrecy Act Reports, and Banks' Costs to Comply with the Act VariedGAO-20-574: Published: Sep 22, 2020. Publicly Released: Sep 22, 2020.
Sep 4, 2020
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Bank Supervision:
FDIC Could Better Address Regulatory Capture RisksGAO-20-519: Published: Sep 4, 2020. Publicly Released: Sep 4, 2020.
Jul 21, 2020
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Financial Company Bankruptcies:
Congress and Regulators Have Updated Resolution Planning RequirementsGAO-20-608R: Published: Jul 21, 2020. Publicly Released: Jul 21, 2020.
Jul 6, 2020
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Public Companies:
Disclosure of Environmental, Social, and Governance Factors and Options to Enhance ThemGAO-20-530: Published: Jul 2, 2020. Publicly Released: Jul 6, 2020.
Apr 30, 2020
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Priority Open Recommendations:
Department of the TreasuryGAO-20-549PR: Published: Apr 23, 2020. Publicly Released: Apr 30, 2020.
Apr 27, 2020
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Priority Open Recommendations:
Board of Governors of the Federal Reserve SystemGAO-20-499PR: Published: Apr 20, 2020. Publicly Released: Apr 27, 2020. -
Priority Open Recommendations:
Federal Deposit Insurance CorporationGAO-20-498PR: Published: Apr 20, 2020. Publicly Released: Apr 27, 2020.
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