Question

A bank holding company may purchase an insurance underwriting subsidiary if approved by the Federal Reserve under the

A) Dodd-Frank Act
B) Depository Institution Deregulation and Monetary Control Act
C) Base/ IlI Accord
D) Financial Services Modernization Act

Answer 1

A bank holding company may purchase an insurance underwriting subsidiary if approved by the Federal Reserve. Bank holding companies are conglomerate firms that own banks and other businesses. The Federal Reserve has the responsibility of supervising these holding companies.

Step-by-step explanation:

A bank holding company may purchase an insurance underwriting subsidiary if approved by the Federal Reserve. Bank holding companies are conglomerate firms that own banks and other businesses. The Federal Reserve has the responsibility of supervising these holding companies, while other regulators like the Office of the Comptroller of the Currency supervise the banks themselves.