Circular
Regulatory Capital Treatment of Nonfinancial Equity Investments
January 14, 2002
Circular No. 11419

To All Depository Institutions and Others Concerned in the Second Federal Reserve District:

In a press release, the Federal Reserve Board, Federal Deposit Insurance Corporation, and Office of the Comptroller of the Currency have announced the adoption of final rules governing the regulatory capital treatment of equity investments in nonfinancial companies held by banks, bank holding companies, and financial holding companies. The final rules will become effective on April 1, 2002.

The text of the final rules (pdf - 289kb) is attached.

Questions on the matter may be directed, at this Bank, to Stefan Walter, Vice President, Bank Supervision Group.