# 17 C.F.R. § 255.16 (2026): Ownership of interests in and sponsorship of issuers of certain collateralized debt obligations backed by trust-preferred securities

> Federal · Regulations · In force

URL: https://www.frixlaw.com/law-library/statutes/CFR_T17_P255_S255_16

## Section

- **Citation:** 17 C.F.R. § 255.16 (2026)
- **Heading:** Ownership of interests in and sponsorship of issuers of certain collateralized debt obligations backed by trust-preferred securities
- **Jurisdiction:** Federal
- **Kind:** Regulations
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** Title 17 CFR: Commodity and Securities Exchanges / Chapter II: SECURITIES AND EXCHANGE COMMISSION / Part 255: PROPRIETARY TRADING AND CERTAIN INTERESTS IN AND RELATIONSHIPS WITH COVERED FUNDS / Subpart C: Covered Funds Activities and Investments / § 255.16: § 255.16   Ownership of interests in and sponsorship of issuers of certain collateralized debt obligations backed by trust-preferred securities.

## Text

(a) The prohibition contained in § 255.10(a)(1) does not apply to the ownership by a banking entity of an interest in, or sponsorship of, any issuer if:
(1) The issuer was established, and the interest was issued, before May 19, 2010;
(2) The banking entity reasonably believes that the offering proceeds received by the issuer were invested primarily in Qualifying TruPS Collateral; and
(3) The banking entity acquired such interest on or before December 10, 2013 (or acquired such interest in connection with a merger with or acquisition of a banking entity that acquired the interest on or before December 10, 2013).
(b) For purposes of this § 255.16,
Qualifying TruPS Collateral
shall mean any trust preferred security or subordinated debt instrument issued prior to May 19, 2010 by a depository institution holding company that, as of the end of any reporting period within 12 months immediately preceding the issuance of such trust preferred security or subordinated debt instrument, had total consolidated assets of less than $15,000,000,000 or issued prior to May 19, 2010 by a mutual holding company.
(c) Notwithstanding paragraph (a)(3) of this section, a banking entity may act as a market maker with respect to the interests of an issuer described in paragraph (a) of this section in accordance with the applicable provisions of §§ 255.4 and 255.11.
(d) Without limiting the applicability of paragraph (a) of this section, the Board, the FDIC and the OCC will make public a non-exclusive list of issuers that meet the requirements of paragraph (a). A banking entity may rely on the list published by the Board, the FDIC and the OCC.
[79 FR 5228, Jan. 31, 2014]

## Nearby sections

- [17 C.F.R. § 255.10 (2026) § 255.10   Prohibition on acquiring or retaining an ownership interest in and having certain relationships with a covered fund.](https://www.frixlaw.com/law-library/statutes/CFR_T17_P255_S255_10.md)
- [17 C.F.R. § 255.11 (2026) § 255.11   Permitted organizing and offering, underwriting, and market making with respect to a covered fund.](https://www.frixlaw.com/law-library/statutes/CFR_T17_P255_S255_11.md)
- [17 C.F.R. § 255.12 (2026) § 255.12   Permitted investment in a covered fund.](https://www.frixlaw.com/law-library/statutes/CFR_T17_P255_S255_12.md)
- [17 C.F.R. § 255.13 (2026) § 255.13   Other permitted covered fund activities and investments.](https://www.frixlaw.com/law-library/statutes/CFR_T17_P255_S255_13.md)
- [17 C.F.R. § 255.14 (2026) § 255.14   Limitations on relationships with a covered fund.](https://www.frixlaw.com/law-library/statutes/CFR_T17_P255_S255_14.md)
- [17 C.F.R. § 255.15 (2026) § 255.15   Other limitations on permitted covered fund activities.](https://www.frixlaw.com/law-library/statutes/CFR_T17_P255_S255_15.md)
- [17 C.F.R. § 255.16 (2026) § 255.16   Ownership of interests in and sponsorship of issuers of certain collateralized debt obligations backed by trust-preferred securities.](https://www.frixlaw.com/law-library/statutes/CFR_T17_P255_S255_16.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/CFR_T17_P255_S255_16. Check the current official text before relying on it. Not legal advice.