U.S. banking regulators are currently investigating the roles of asset management giants BlackRock, Vanguard, and State Street in regards to their investments in U.S. banks. The Federal Deposit Insurance Corporation (FDIC) is questioning whether these firms, often referred to as the Big Three index funds, are truly passive investors as they claim. Typically, these firms self-certify to the Federal Reserve that they do not exert influence over bank management or boards. However, concerns have been raised about their potential influence on the nation's banking sector. This probe comes amid broader discussions on the power these investment firms hold, with Republicans fearing the firms might use their voting power to push liberal priorities, while Democrats are concerned about the concentration of economic influence in the hands of a few entities.