Bill would let banks hold merchant banking investments for 15 years
Placed on the calendarH.R. 5291Latest action
Sponsor: Roger Williams · Representative · TX
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Official title: Merchant Banking Modernization Act
119th Congress
Topics: Jobs & the economy
Introduced:
Read the official bill on Congress.govIn plain words
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The bill sets a minimum 15-year holding period for banks' merchant banking investments, applied retroactively.
35-second read · 4 questions answered below
What does this do?
This bill would require regulators to generally allow financial holding companies to hold merchant banking investments (ownership stakes in non-financial companies) for at least 15 years, longer than current typical periods. The new 15-year minimum would also apply retroactively to investments already made before the bill becomes law.
Who does it affect?
Large bank holding companies and financial holding companies that engage in merchant banking, and the businesses they invest in, are directly affected.
Why does it matter?
Extending the holding period gives banking organizations more time and flexibility to manage and sell investments before being required to divest, rather than facing pressure to sell sooner. Some critics raise concerns about banks holding long-term stakes in non-financial businesses.
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Where does it stand?
- IntroducedSep 10, 2025
- House committee
- House voteYou are here · Nov 4, 2025
- Senate
- The president's desk
Right now: it was placed on the , and the official record shows no floor action on it since. If the Senate changes it, it goes back to the House before reaching the president.
Latest action: — Placed on the Union Calendar, Calendar No. 320.