Request for Public Comment on a Proposed Rule that Allows a Financial Holding Company to Act as a

Federal Reserve Bankll★Kof DallasDALLAS, TEXASAugust 10, 2000 75265-5906Notice 2000-50TO: The Chief Executive Officer of eachfinancial institution and others concernedin the Eleventh Federal Reserve DistrictSUBJECTRequest for Public Commenton a Proposed Rule that Allows a Financial Holding Company toAct as a “Finder” to Bring Together Buyers and SellersDETAILSThe Board of Governors, in consultation with the Secretary of the Treasury, hasproposed to determine by rule that acting as a finder is an activity that is financial in nature orincidental to a financial activity and, therefore, permissible for financial holding companies.The proposed rule•W ould authorize financial holding companies to act as a “finder,” which is anactivity defined as bringing together buyers and sellers of products or services fortransactions that the buyers and sellers themselves negotiate and consummate;•W ould amend Subpart I of Regulation Y to add finder activities to the list ofpermissible activities for financial holding companies;• Provides examples of services that financial holding companies may perform as afinder and examples of actions that are outside the scope of permissible finderactivities; and•W ould require financial holding companies that act as a finder to distinguish theproducts and services offered by third parties through the company’s finderservice from any products or services offered by the financial holding company orits subsidiaries.For ...