One-Bank Holding Company

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DEFINITION of 'One-Bank Holding Company'

A corporation that holds at least a quarter of the voting stock of a commercial bank. One-bank holding companies led to the creation of leveraged bank holding companies. These entities are under the supervision of the Federal Reserve.

INVESTOPEDIA EXPLAINS 'One-Bank Holding Company'

One-bank holding companies began to appear in the late 1960s. The leveraged entities that sprung from them freed commercial banks from their dependence on customer deposits for making loans. Bank holding companies were allowed to issue commercial paper in capital markets.

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