Take an example HSBC or JPMorgan? What is a holding company? What they offer and how do their services look like?
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A holding company is just one that owns other companies. Instead of a company with divisions, it’s a company with other companies. May be a variety of business, tax, legal, regulatory reasons why its done that way.
The two companies you mentioned are banks… they might do it due to regulatory issues between commercial banks and investment banks that require an arms length association to minimize risks to checking and savings account deposits relative to more highly speculative nature of investment banking activities (see 2008 financial crisis). For a company like Alphabet, it may help alleviate fears of Google snooping via Nest products if they’re separate companies. Consumer goods companies are often buying and selling brands, product categories so it may make sense to break up candy from salty snacks from cheese and dairy (eg. Kraft Mondelez split).
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