# 12 CFR § 248.1: Authority, purpose, scope, and relationship to other authorities > Federal · Regulations · In force URL: https://www.frixlaw.com/law-library/statutes/ecfr-12-248.1 ## Section - **Citation:** 12 CFR § 248.1 - **Heading:** Authority, purpose, scope, and relationship to other authorities - **Jurisdiction:** Federal - **Kind:** Regulations - **Status:** In force - **Text as of:** September 22, 2026 - **Source:** Publisher's official text - **Location:** Title 12—Banks and Banking > CHAPTER II—FEDERAL RESERVE SYSTEM > SUBCHAPTER A—BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM > PART 248—PROPRIETARY TRADING AND CERTAIN INTERESTS IN AND RELATIONSHIPS WITH COVERED FUNDS (REGULATION VV) > Subpart A—Authority and Definitions ## Text (a) Authority. This part (Regulation VV) is issued by the Board under section 13 of the Bank Holding Company Act of 1956, as amended (12 U.S.C. 1851), as well as under the Federal Reserve Act, as amended (12 U.S.C. 221 et seq.); section 8 of the Federal Deposit Insurance Act, as amended (12 U.S.C. 1818); the Bank Holding Company Act of 1956, as amended (12 U.S.C. 1841 et seq.); and the International Banking Act of 1978, as amended (12 U.S.C. 3101 et seq.). (b) Purpose. Section 13 of the Bank Holding Company Act establishes prohibitions and restrictions on proprietary trading and on investments in or relationships with covered funds by certain banking entities, including state member banks, bank holding companies, savings and loan holding companies, other companies that control an insured depository institution, foreign banking organizations, and certain subsidiaries thereof. This part implements section 13 of the Bank Holding Company Act by defining terms used in the statute and related terms, establishing prohibitions and restrictions on proprietary trading and on investments in or relationships with covered funds, and explaining the statute's requirements. (c) Scope. This part implements section 13 of the Bank Holding Company Act with respect to banking entities for which the Board is authorized to issue regulations under section 13(b)(2) of the Bank Holding Company Act (12 U.S.C. 1851(b)(2)) and take actions under section 13(e) of that Act (12 U.S.C. 1851(e)). These include any state bank that is a member of the Federal Reserve System, any company that controls an insured depository institution (including a bank holding company and savings and loan holding company), any company that is treated as a bank holding company for purposes of section 8 of the International Banking Act (12 U.S.C. 3106), and any subsidiary of the foregoing other than a subsidiary for which the OCC, FDIC, CFTC, or SEC is the primary financial regulatory agency (as defined in section 2(12) of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 (12 U.S.C. 5301(12)), but do not include such entities to the extent they are not within the definition of banking entity in § 248.2(c). (d) Relationship to other authorities. Except as otherwise provided under section 13 of the BHC Act or this part, and notwithstanding any other provision of law, the prohibitions and restrictions under section 13 of BHC Act and this part shall apply to the activities of a banking entity, even if such activities are authorized for the banking entity under other applicable provisions of law. (e) Preservation of authority. Nothing in this part limits in any way the authority of the Board to impose on a banking entity identified in paragraph (c) of this section additional requirements or restrictions with respect to any activity, investment, or relationship covered under section 13 of the Bank Holding Company Act or this part, or additional penalties for violation of this part provided under any other applicable provision of law. [79 FR 5804, Jan. 31, 2014, as amended at 84 FR 35020, July 22, 2019] ## Nearby sections - [12 CFR § 248.1 § 248.1 Authority, purpose, scope, and relationship to other authorities.](https://www.frixlaw.com/law-library/statutes/ecfr-12-248.1.md) - [12 CFR § 248.2 § 248.2 Definitions.](https://www.frixlaw.com/law-library/statutes/ecfr-12-248.2.md) - [12 CFR § 248.3 § 248.3 Prohibition on proprietary trading.](https://www.frixlaw.com/law-library/statutes/ecfr-12-248.3.md) - [12 CFR § 248.4 § 248.4 Permitted underwriting and market making-related activities.](https://www.frixlaw.com/law-library/statutes/ecfr-12-248.4.md) - [12 CFR § 248.5 § 248.5 Permitted risk-mitigating hedging activities.](https://www.frixlaw.com/law-library/statutes/ecfr-12-248.5.md) - [12 CFR § 248.6 § 248.6 Other permitted proprietary trading activities.](https://www.frixlaw.com/law-library/statutes/ecfr-12-248.6.md) - [12 CFR § 248.7 § 248.7 Limitations on permitted proprietary trading activities.](https://www.frixlaw.com/law-library/statutes/ecfr-12-248.7.md) - [12 CFR § 248.10 § 248.10 Prohibition on acquiring or retaining an ownership interest in and having certain relationships with a covered fund.](https://www.frixlaw.com/law-library/statutes/ecfr-12-248.10.md) - [12 CFR § 248.11 § 248.11 Permitted organizing and offering, underwriting, and market making with respect to a covered fund.](https://www.frixlaw.com/law-library/statutes/ecfr-12-248.11.md) - [12 CFR § 248.12 § 248.12 Permitted investment in a covered fund.](https://www.frixlaw.com/law-library/statutes/ecfr-12-248.12.md) - [12 CFR § 248.13 § 248.13 Other permitted covered fund activities and investments.](https://www.frixlaw.com/law-library/statutes/ecfr-12-248.13.md) - [12 CFR § 248.14 § 248.14 Limitations on relationships with a covered fund.](https://www.frixlaw.com/law-library/statutes/ecfr-12-248.14.md) - [12 CFR § 248.15 § 248.15 Other limitations on permitted covered fund activities.](https://www.frixlaw.com/law-library/statutes/ecfr-12-248.15.md) - [12 CFR § 248.16 § 248.16 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/ecfr-12-248.16.md) --- Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/ecfr-12-248.1. 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