Regulation Y

Dictionary Says

Definition of 'Regulation Y'


Federal Reserve action regulating corporate bank holding company practices as well as certain practices of state-member banks. Practices or issues that fall under Regulation Y governance include establishment of minimum capital reserves (ratio of reserves to assets) for bank holding companies, certain bank holding company transactions and the definition of nonbanking activities for bank holding companies, state member banks and foreign banks operating in the U.S.

Investopedia Says

Investopedia explains 'Regulation Y'


Regulation Y outlines several bank holding company transactions which require Federal Reserve approval:

• The acquisition of, or merger with, another bank holding company
• Directly or indirectly engaging in nonbanking activity
• Individual or group acquisition of a state member bank or bank holding company
• Appointment of a new senior officer or director by a troubled bank holding company or state member bank

comments powered by Disqus
Hot Definitions
  1. Closed-End Fund

    A closed-end fund is a publicly traded investment company that raises a fixed amount of capital through an initial public offering (IPO). The fund is then structured, listed and traded like a stock on a stock exchange.
  2. Payday Loan

    A type of short-term borrowing where an individual borrows a small amount at a very high rate of interest. The borrower typically writes a post-dated personal check in the amount they wish to borrow plus a fee in exchange for cash.
  3. Securitization

    The process through which an issuer creates a financial instrument by combining other financial assets and then marketing different tiers of the repackaged instruments to investors.
  4. Economic Forecasting

    The process of attempting to predict the future condition of the economy. This involves the use of statistical models utilizing variables sometimes called indicators.
  5. Chicago Mercantile Exchange - CME

    The world's second-largest exchange for futures and options on futures and the largest in the U.S. Trading involves mostly futures on interest rates, currency, equities, stock indices and agricultural products.
  6. Private Equity

    Equity capital that is not quoted on a public exchange. Private equity consists of investors and funds that make investments directly into private companies or conduct buyouts of public companies that result in a delisting of public equity.
Trading Center