Merchant Banking Modernization Act
Introduced Sep 10, 2025 by Rep. Roger Williams
It's waiting on a committee vote to reach the full chamber. Most bills never leave this stage.
This bill requires financial holding companies to be allowed to hold merchant banking investments for a minimum of 15 years.
Currently, financial holding companies are generally prohibited from holding interests in nonfinancial companies, however, there are statutory exemptions for merchant banking activities—financial services for private commercial entities. As a result of these financial services, the financial holding company may gain equity in these private commercial entities through portfolio holdings. Under current regulations, these holdings are subject to certain limitations, including a holding limit of 10 years, with the option of extending the period subject to review by the Federal Reserve Board.
Summary by the Congressional Research Service.
No floor votes yet — it hasn't reached the floor of either chamber.