Goldman, Morgan Stanley to become regulated banks

"Goldman Sachs and Morgan Stanley, the last surviving big investment banks on Wall Street, have become regulated banks. In a statement issued at 9.30pm Sunday the Federal Reserve said it had approved their applications to become bank holding companies, subject to regulation by the Fed. // The move effectively spells the end of the investment banking industry as a separate sector, leaving behind only small boutique securities firms. In doing so it ends the decades old division of the US financial industry into two halves, which dates back to legislation passed after the Great Depression." FT.com / Companies / Financial services - Goldman, Morgan Stanley to become regulated banks