2-14 By converting to a bank holding company,an investment bank gains access to Federal Reserve lending facilities.

Question

Quizplus · Accepted Answer

By converting to a bank holding company, an investment bank is able to access the Federal Reserve's lending facilities, which are not available to non-bank financial institutions. This access to the Fed's lending facilities can provide investment banks with a stable source of funding and enhance their ability to withstand financial market turmoil.

2-14 by Converting to a Bank Holding Company,an Investment Bank