A/An _________________________ is a bank holding company that may engage in an even more extensive array of financial and nonfinancial activities than traditional bank holding companies.

Question

Quizplus · Accepted Answer

A financial holding company is a type of bank holding company that is allowed to engage in a broader range of activities, including securities underwriting, dealing and market making, and insurance underwriting. This expanded scope of activities was authorized by the Gramm-Leach-Bliley Act of 1999. Interstate bank is not the correct answer because it refers to a bank that operates in multiple states, but it does not necessarily have broader financial activities. Financial intermediary is too general and can include many different types of entities, not just bank holding companies. Super bank is not a commonly used term and does not accurately describe a financial holding company.

A/An _________________________ Is a Bank Holding Company That May Engage