Bank of New York Co. got permission Wednesday from the Federal Reserve to underwrite equity and debt.

The banking company had established a so-called section 20, or investment banking, subsidiary last June, through which it was allowed to underwrite and deal in municipal revenue bonds, mortgage-related securities, and commercial paper and consumer-receivable-related securities.

Bank of New York joins the likes of Citicorp, Chase Manhattan Corp., Bankers Trust New York Corp., and NationsBank Corp. in acquiring expanded underwriting powers.

The New York company was ranked seventh last year in leading syndicated loans, a traditional point of entry for corporate relationships.

It arranged more than $50 billion of commercial and industrial loans last year and commanded a 3% market share, according to Loan Pricing Corp.

First Chicago NBD Corp. is the only remaining company among the top 10 loan syndicators without the full complement of underwriting powers.

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