From Perplexity AI
Question:
What is the DTCC Common Stock Reallocation? Does it have anything to do with the FDIC, COOP, or the former Washington Mutual Bank?
Sources
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Answer
Based on the search results, the DTCC Common Stock Reallocation has the following key points:
The Depository Trust & Clearing Corporation (DTCC) is a holding company that owns several clearing agency subsidiaries, including the Depository Trust Company (DTC), the National Securities Clearing Corporation (NSCC), and the Fixed Income Clearing Corporation (FICC). 123
The Revised Shareholders Agreement for DTCC will allow for more frequent reallocation of the common shares among the common shareholders (which are primarily banks, broker-dealers, mutual funds, and other financial services companies that participate in DTCC's clearing agencies). This is to better align the ownership of the common shares with the usage of DTCC's services. 1
The reallocation of common shares is a means of aligning the entitlement to own such shares with the common shareholders. The existing agreement limited reallocations to no more than once a year, but the revised agreement will allow for more than one reallocation per year. 1
The search results do not indicate any direct connection between the DTCC Common Stock Reallocation and the FDIC, COOP, or the former Washington Mutual Bank. The FDIC information provided is about FDIC approval for banks to invest in listed stocks through subsidiaries, which is a separate issue. 45
In summary, the DTCC Common Stock Reallocation is an internal change to the ownership structure of DTCC to better align the common share ownership with the usage of DTCC's clearing services. It does not appear to be directly related to the FDIC, COOP, or Washington Mutual Bank based on the information provided.
