What major legislation repealed the Glass-Steagall Act in 1999?

The correct answer is that the major legislation that repealed the Glass-Steagall Act in 1999 is known as the Gramm-Leach-Bliley Act. This act effectively removed the barriers that had previously separated commercial banking, investment banking, and insurance services, which had been established by the Glass-Steagall Act in 1933. By allowing institutions to engage in a wider range of financial services, the Gramm-Leach-Bliley Act aimed to modernize the financial services landscape and enhance the competitiveness of U.S. banks.

While the Financial Services Modernization Act is a term often used interchangeably with the Gramm-Leach-Bliley Act, the official title of the legislation is the Gramm-Leach-Bliley Act. This distinction is essential, as many refer to the act's broader implications on the financial sector as its modernization aspect, but it’s crucial to recognize the specific legislation responsible for the repeal itself. The Dodd-Frank Act is significant for financial reform and implementing regulations after the 2008 financial crisis but did not repeal Glass-Steagall; rather, it aimed to increase oversight. The Securities Exchange Act deals primarily with the regulation of the securities markets and does not pertain to the Glass-Steagall repeal.