Wall Street Venture-Fund Curbs to Be Eased in Volcker Revamp (1)

Wall Street banks would face much looser restrictions on investing in venture-capital funds under regulators’ latest rollback of the Volcker Rule, according to three people familiar with the matter.

Making it easier for lenders to take stakes in venture funds is among changes that the Federal Reserve and other watchdogs are set to propose this week, said the people, who requested anonymity to discuss the plan. The Dodd-Frank Act rule has been a top target of regulators appointed by President Donald Trump and some of the agencies involved plan to vote on the fresh overhaul Jan. 30.

The Fed, Securities ...