What legislation was enacted by Congress in 1999 to reform financial services by allowing the combination of commercial banking and investment-banking activities?

The Gramm-Leach-Bliley Act, enacted in 1999, was significant because it effectively repealed provisions of the Glass-Steagall Act of 1933, which had established a separation between commercial banking and investment banking. This reform allowed financial institutions to offer a combination of banking, securities, and insurance services under one umbrella, thus facilitating increased competition and innovation within the financial services industry.

The legislation aimed to enhance the financial services sector's efficiency by enabling companies to diversify their operations and services, ultimately benefiting consumers through more competitive pricing and greater access to financial products. The act also included provisions for protecting personal financial information, establishing privacy requirements for financial institutions. Overall, the Gramm-Leach-Bliley Act marked a transformative moment in the regulation of the financial industry, reshaping how banking and investment operations could function together.