Finance & markets · 16/06/1998Updated: 10/17/2026 · 1 min read
Federal Reserve Proposes Exemptions from Section 23A of the Federal Reserve Act for Certain Loans and Extensions of Credit
Summary
The Federal Reserve is proposing two exemptions from Section 23A of the Federal Reserve Act, which restricts member banks from funding their affiliates through direct investments or loans, to allow insured depository institutions to make loans to customers that use the proceeds to purchase securities from or through the institution's registered broker-dealer affiliate.