BANKING & FINANCE - June 7, 1994
From Times Staff and Wire Reports
Chase Manhattan to Enter Securities Trade: The New York bank said it has federal permission to begin underwriting and trading in corporate securities. Such approval represents an important step for commercial banks away from restrictions--dating back to the 1930s--on the involvement by banks in securities-related activities. Chase, Citicorp and a few other banks have applied for and received permission to underwrite corporate debt securities through separately capitalized subsidiaries. They may issue debt in the form of securities for public and private companies. Some other banks, including J.P. Morgan & Co., Bankers Trust Co., Daughin Deposit Corp., NationsBank and Chemical Banking Corp., have received approval to underwrite equities.
