Four major trade groups representing securities firms, mutual funds, big banks, and diversified financial services companies urged Congress to permit all kinds of financial institutions to affiliate with banks.

In a letter to House Commerce Committee Chairman Thomas J. Bliley, R- Va., the four said the Glass-Steagall Act should be repealed in such a way as to open a "two-way street" between banks and nonbanks.

The letter addresses concerns among some that the Glass-Steagall repeal legislation passed by the House Banking Committee will allow banks to buy securities firms but keep Wall Street companies from owning banks.

The letter was signed by the American Financial Services Association, the Financial Services Council, the Investment Company Institute, and the Securities Industry Association.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.