ok your the smart guy.
what's the difference between an investment bank and a bank holding company?
i.e. goldmans sachs and morgan stanley changes.

 

Trick question....there is no such thing as an investment bank.




ok ok

My understanding is the an investment bank was able to leverage their assets upwards of 40%, where as a bank/holding company was closer to 10%.

 

also the amount of regulations that each entity had to oblige by

 

I'm just trying to understand the legal dance the two previously remaining investment banks did.

as a holding bank do they now slip under the umbrella of FDIC?

 

The goal of the move was to force them to leverage less and make it easier to merge with exsisting bank/bank holding companies.

It was forced on them......as far as FDIC, I suppose if they have retail deposit accounts....they would be covered.