# 12 C.F.R. § 347.108 (2026): Portfolio investments

> Federal · Regulations · In force

URL: https://www.frixlaw.com/law-library/statutes/CFR_T12_P347_S347_108

## Section

- **Citation:** 12 C.F.R. § 347.108 (2026)
- **Heading:** Portfolio investments
- **Jurisdiction:** Federal
- **Kind:** Regulations
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** Title 12 CFR: Banks and Banking / Chapter III: FEDERAL DEPOSIT INSURANCE CORPORATION / Part 347: INTERNATIONAL BANKING / § 347.108: § 347.108   Portfolio investments.

## Text

(a)
Portfolio investments.
If a bank, directly or indirectly, acquires or holds an equity interest in a foreign organization as a portfolio investment and the foreign organization is not controlled, directly or indirectly, by the bank or its affiliates:
(1) No more than 10 percent of either the consolidated assets or revenues of the foreign organization may be attributable to activities that are not permissible under § 347.105(b); and
(2) Any loans or extensions of credit made by the bank and its affiliates to the foreign organization must be on substantially the same terms, including interest rates and collateral, as those prevailing at the same time for comparable transactions between the bank or its affiliates and nonaffiliated organizations.
(b)
Portfolio investment defined.
For purposes of this section, the term “portfolio investment” means an investment in an organization in which less than 20 percent of the voting equity interests, in the aggregate, are directly or indirectly held by a bank or its affiliates.

## Nearby sections

- [12 C.F.R. § 347.101 (2026) § 347.101   Authority, purpose, and scope.](https://www.frixlaw.com/law-library/statutes/CFR_T12_P347_S347_101.md)
- [12 C.F.R. § 347.102 (2026) § 347.102   Definitions.](https://www.frixlaw.com/law-library/statutes/CFR_T12_P347_S347_102.md)
- [12 C.F.R. § 347.103 (2026) § 347.103   Effect of state law on actions taken under this subpart.](https://www.frixlaw.com/law-library/statutes/CFR_T12_P347_S347_103.md)
- [12 C.F.R. § 347.104 (2026) § 347.104   Insured state nonmember bank investments in foreign organizations.](https://www.frixlaw.com/law-library/statutes/CFR_T12_P347_S347_104.md)
- [12 C.F.R. § 347.105 (2026) § 347.105   Permissible financial activities outside the United States.](https://www.frixlaw.com/law-library/statutes/CFR_T12_P347_S347_105.md)
- [12 C.F.R. § 347.106 (2026) § 347.106   Going concerns.](https://www.frixlaw.com/law-library/statutes/CFR_T12_P347_S347_106.md)
- [12 C.F.R. § 347.107 (2026) § 347.107   Joint ventures.](https://www.frixlaw.com/law-library/statutes/CFR_T12_P347_S347_107.md)
- [12 C.F.R. § 347.108 (2026) § 347.108   Portfolio investments.](https://www.frixlaw.com/law-library/statutes/CFR_T12_P347_S347_108.md)
- [12 C.F.R. § 347.109 (2026) § 347.109   Limitations on indirect investments in nonfinancial foreign organizations.](https://www.frixlaw.com/law-library/statutes/CFR_T12_P347_S347_109.md)
- [12 C.F.R. § 347.110 (2026) § 347.110   Affiliate holdings.](https://www.frixlaw.com/law-library/statutes/CFR_T12_P347_S347_110.md)
- [12 C.F.R. § 347.111 (2026) § 347.111   Underwriting and dealing limits applicable to foreign organizations held by insured state nonmember banks.](https://www.frixlaw.com/law-library/statutes/CFR_T12_P347_S347_111.md)
- [12 C.F.R. § 347.112 (2026) § 347.112   Restrictions applicable to foreign organizations that act as futures commission merchants.](https://www.frixlaw.com/law-library/statutes/CFR_T12_P347_S347_112.md)
- [12 C.F.R. § 347.113 (2026) § 347.113   Restrictions applicable to activities by a foreign organization in the United States.](https://www.frixlaw.com/law-library/statutes/CFR_T12_P347_S347_113.md)
- [12 C.F.R. § 347.114 (2026) § 347.114   Extensions of credit to foreign organizations held by insured state nonmember banks; shares of foreign organizations held in connection with debts previously contracted.](https://www.frixlaw.com/law-library/statutes/CFR_T12_P347_S347_114.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/CFR_T12_P347_S347_108. Check the current official text before relying on it. Not legal advice.