The Financial Industry Regulatory Authority, Wall Street’s self-regulatory watchdog, had proposed reworking the pattern day trading rule, which bans a trader from making more than four day-trades in a five-day period if their margin account has less than $25,000 in assets. The new margin standards, which require customers to have enough equity in their account to cover the risks they run at that moment, will apply to all investors rather than just small ones.
“By eliminating antiquated barriers, this change better reflects the modern trading landscape and ensures everyone has the freedom to invest and participate in the markets on their own terms,” Quirk said.
