The Federal Reserve and other financial agencies Thursday approved changes to the Volcker Rule, allowing banks to increase their investments in venture capital funds.
June 25 (UPI) — The Federal Reserve and other financial agencies Thursday approved changes to the Volcker Rule, allowing banks to increase their investments in venture capital funds.
The Fed, along with the Office of the Comptroller of the Currency and the Federal Deposit Insurance Corp. made the changes providing more clarity to what will be allowed. Banks will be able to increase investments in venture capital funds and gain money they held onto to back derivatives trades.
It marked a continued relaxation of restriction under President Donald Trump.Last year, the Fed, OCC and FDIC eased Volcker restrictions to allow lenders to engage in proprietary trading.
