The Performance of Foreign Owned, Minority Owned, and Holding Company Owned Banks in the US

The regulatory and legal environment shaping the constantly evolving US bank structure is pervasive, making it necessary for regulators to simultaneously consider interrelated aspects of that structure. This paper investigates the simultaneous effects of foreign, minority and holding company ownership upon bank performance with both aggregated and disaggregated models. The aggregated results suggest that foreign owned bank performance is similar to non-attribute banks, but that the performance of minority and holding company owned banks provides some cause for concern. The disaggregated results provide additional insights particularly with respect of US banks owned by foreign banks and black owned banks. Policy implications are discussed