Merchant Banking Modernization Act
- Last Action
- 11/4/2025
Actions
- 2025-11-04Placed on the Union Calendar, Calendar No. 320.
- 2025-11-04Reported (Amended) by the Committee on Financial Services. H. Rept. 119-368.
- 2025-11-04Reported (Amended) by the Committee on Financial Services. H. Rept. 119-368.
- 2025-09-16Ordered to be Reported (Amended) by the Yeas and Nays: 35 - 17.
- 2025-09-16Committee Consideration and Mark-up Session Held
- 2025-09-10Referred to the House Committee on Financial Services.
- 2025-09-10Introduced in House
- 2025-09-10Introduced in House
CRS Summary
As of 2025-11-04 (07)
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.
Cosponsors (1)
- Josh Gottheimer (D-NJ)
Subjects
- Bank accounts, deposits, capital
- Banking and financial institutions regulation
- Business investment and capital
Sourced from Congress.gov (public domain).
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