Affiliate Transactions - Reg W       





Regulation W implements Sections 23A and 23B of the Federal Reserve Act, imposing restrictions on financial institutions’ transactions with their affiliates. The purpose of the law is to:

  • Impose quantitative, qualitative, and collateral restrictions on affiliate transactions.
  • Increase the chances that transactions with affiliates are on market terms and conditions consistent with safe and sound business practices.
  • Limit the ability of financial institutions to transfer to their affiliates the benefits of its federal safety net (e. g., lower cost insured deposits, the payment system, and the discount window).


    1 Hour(s)


  • Recognize the affiliates and transactions covered by Regulation W.
  • Identify the restrictions and requirements associated with Section 23A.
  • Recognize Regulation W's timing and valuation standards.
  • Identify Section 23B requirements.

    109B3R4.2

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