Commercial Banking in the United States: Increased Investment Opportunities for China-Based Institutions

    April 2009

    In an article that appeared in the Jiangsu Province Industrial Overseas Development and Planning Association newsletter, Squire Sanders partner David C. Kenny discusses a recent US Federal Reserve Board policy statement that will be helpful to China-based commercial banks and other financial institutions interested in making large investments in US banking organizations without becoming controlling bank holding companies. The statement liberalizes US policies permitting private equity funds, sovereign wealth funds, non-US banking organizations and other investors to make sizable but noncontrolling investments in US banks, bank holding companies and financial holding companies.

    Reproduced and translated with permission from the Jiangsu Province Development and Reform Commission.