A national bank may not purchase securities convertible into stock at the option of the issuer.

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Terms Used In 12 CFR 1.6

  • National Bank: A bank that is subject to the supervision of the Comptroller of the Currency. The Office of the Comptroller of the Currency is a bureau of the U.S. Treasury Department. A national bank can be recognized because it must have "national" or "national association" in its name. Source: OCC