3.0.0 3098 2023-01-11T13:16:14Z 2023-01-11T13:16:14Z Senate S S 2010-03-10 111 ssbk00 Banking, Housing, and Urban Affairs Committee Senate Standing Referred to 2010-03-10T19:25:42Z 2010-03-10 ssbk00 Banking, Housing, and Urban Affairs Committee Senate Read twice and referred to the Committee on Banking, Housing, and Urban Affairs. IntroReferral 2010-03-10 Introduced in Senate IntroReferral 10000 9 Library of Congress M001176 Sen. Merkley, Jeff [D-OR] Jeff Merkley D OR N L000261 Sen. Levin, Carl [D-MI] CARL LEVIN D MI MILTON 2010-03-10 True K000373 Sen. Kaufman, Edward E. [D-DE] Edward Kaufman D DE E. 2010-03-10 True B000944 Sen. Brown, Sherrod [D-OH] Sherrod Brown D OH 2010-03-10 True S001181 Sen. Shaheen, Jeanne [D-NH] Jeanne Shaheen D NH 2010-03-10 True F000062 Sen. Feinstein, Dianne [D-CA] Dianne Feinstein D CA 2010-03-11 False N000032 Sen. Nelson, Bill [D-FL] CLARENCE NELSON D FL WILLIAM 2010-04-19 False C001070 Sen. Casey, Robert P., Jr. [D-PA] Bob Casey D PA 2010-04-21 False Finance and Financial Sector Banking and financial institutions regulation Financial services and investments Securities Finance and Financial Sector 00 2010-03-10 Introduced in Senate 2010-04-20T15:17:33Z Protect Our Recovery Through Oversight of Proprietary Trading Act of 2010 or the PROP Trading Act - Amends the Bank Holding Company Act of 1956 to prohibit a banking entity from: (1) engaging in proprietary trading; or (2) having an ownership interest in or sponsoring a hedge fund or a private equity fund.

Subjects any specified nonbank financial company holding such proprietary trading and ownership interests to additional capital requirements and additional quantitative limits.

Directs the Board of Governors of the Federal Reserve System (Board) and the Federal Deposit Insurance Corporation (FDIC) to adopt rules jointly to implement this Act.

Authorizes the Board and the FDIC to exclude from such prohibitions specified transactions or activities, including: (1) the purchase or sale of obligations of the United States or any federal agency; (2) instruments issued by the Government National Mortgage Association (Ginnie Mae), the Federal National Mortgage Association (Fannie Mae), and the Federal Home Loan Mortgage Corporation (Freddie Mac); and (3) obligations of any state or its political subdivision.

Prohibits from the class of excluded activities any transactions that would: (1) result in a material conflict of interest between the banking entity or the nonbank financial company and its clients, customers, or counterparties; (2) result in exposure to high risk assets or high risk trading strategies; (3) threaten the safety and soundness of a banking entity or the nonbank financial company; or (4) threaten the financial stability of the United States.

Prohibits any banking entity that serves, directly or indirectly, as the investment manager or investment adviser to a hedge fund or private equity fund from entering into a covered transaction with, or provide custody, securities lending, or other prime brokerage services to, such person. Treats a banking entity that serves as investment manager or investment adviser to a hedge fund or private equity fund as if: (1) it were a member bank subject to the Federal Reserve Act; and (2) the hedge fund or private equity fund were an affiliate thereof.

Amends the Securities Act of 1933 to prohibit an underwriter, placement agent, initial purchaser, or sponsor of an asset-backed security, while the security is outstanding and held by unaffiliated investors, from engaging in any transaction that would: (1) give rise to any material conflict of interest with respect to any investor; or (2) undermine the value, risk, or performance of such security

]]> PROP Trading Act Display Title PROP Trading Act Official Title as Introduced A bill to prohibit proprietary trading and certain relationships with hedge funds and private equity funds, to address conflicts of interest with respect to certain securitizations, and for other purposes. Introduced in Senate IS Short Titles as Introduced PROP Trading Act Short Titles as Introduced Protect Our Recovery Through Oversight of Proprietary Trading Act of 2010 Introduced in Senate 2010-03-10T05:00:00Z https://www.govinfo.gov/content/pkg/BILLS-111s3098is/xml/BILLS-111s3098is.xml 2010-03-10 Read twice and referred to the Committee on Banking, Housing, and Urban Affairs. text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain. Congressional Research Service, Library of Congress This file contains bill summaries and statuses for federal legislation. A bill summary describes the most significant provisions of a piece of legislation and details the effects the legislative text may have on current law and federal programs. Bill summaries are authored by the Congressional Research Service (CRS) of the Library of Congress. As stated in Public Law 91-510 (2 USC 166 (d)(6)), one of the duties of CRS is "to prepare summaries and digests of bills and resolutions of a public general nature introduced in the Senate or House of Representatives". For more information, refer to the User Guide that accompanies this file.