For example, we can expect mutual funds to refine their offerings to compete with bank checking and savings accounts, albeit without deposit insurance. Banks will undoubtedly make further inroads in mutual fund management and investment banking through internal growth and through acquisitions of securities firms. Investment banks may also supplement their services by making commercial loans and participating in loan syndications.
With such things happening, why do we need a legislative solution? The answer is that a well thought out proposal addressing the appropriate structure for the industry would allow for a more rapid and efficient integration of financial services.