To amend the Bank Holding Company Act of 1956 to generally permit holding merchant banking investments of up to 15 years.
Sponsors
Legislative Progress
ReportedAdditional sponsor: Mr. Gottheimer
Reported with an amendment, committed to the Committee of the …
Mr. Williams of Texas introduced the following bill; which was …
Summary
What This Bill Does
Increases the generally permitted holding period for merchant banking investments by bank holding companies from current regulatory limits to at least 15 years. Applies retroactively to existing investments.
Who Benefits and How
- Bank holding companies gain longer investment horizons for private equity holdings
- Portfolio companies benefit from patient capital without forced divestiture
- Private equity operations of banks receive more flexibility
Who Bears the Burden and How
- Banking regulators must update rules to reflect 15-year minimum
- Systemic risk concerns potentially increase with longer bank investments
Key Provisions
- Minimum 15-year holding period for merchant banking investments
- Applies to investments held as of enactment date
- 15-year period runs from initial investment date
- Federal Reserve must update regulations accordingly
Evidence Chain:
This summary is derived from the structured analysis below. See "Detailed Analysis" for per-title beneficiaries/burden bearers with clause-level evidence links.
Primary Purpose
Extends minimum holding period for bank holding company merchant banking investments to 15 years
Policy Domains
Legislative Strategy
"Extend bank investment holding periods to support private equity activities"
Bill Structure & Actor Mappings
Who is "The Secretary" in each section?
We use a combination of our own taxonomy and classification in addition to large language models to assess meaning and potential beneficiaries. High confidence means strong textual evidence. Always verify with the original bill text.
Learn more about our methodology