THE AGGREGATION OF EQUITY INVESTMENTS BY BANKS AND BANK-HOLDING COMPANIES

The author begins with a description of permissible equity investment by national and state banks and by bank holding companies under current federal laws and regulations. After discussing the subject of aggregation generally, the author examines four separate types of aggregation of investments by banks and bank holding companies under current banking and bank holding company regulations: (1) the aggregation of investments by banks or bank holding companies and their nonwholly owned subsidiaries; (2) the aggregation of different types of permitted and exempt investments by banks and bank holding companies; (3) the aggregation of debt and equity investments made in the same nonbanking entity; and (4) the aggregation of investments made through different sources in a single nonbanking entity.