When FIs Form Off-Balance Sheet Subsidiaries to Remove Assets from Their

Multiple Choice

When FIs form off-balance sheet subsidiaries to remove assets from their balance sheet, the subsidiary activities

A) are regulated as though they are part of the parent institution.
B) occur beyond the reach of existing state and federal monitoring and regulation.
C) are monitored and regulated by the Securities and Exchange Commission (SEC) .
D) are reported to the National Association of Securities Dealers (NASD) .
E) must follow the Bank for International Settlements (BIS) capital adequacy standards.