The turf battle between the Federal Reserve and the Treasury is clearly the most contentious issue in the financial modernization bill that squeaked through the House.

The Fed wants the legislation to require that new activities be conducted in holding company subsidiaries. This is scarcely a surprise in view of the Fed's role as regulator of bank holding companies.

Limited Time Offer

Save $400 off your subscription. Special offer ends April 30, 2017.

14-Day Free Trial

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