FINRA Removes $25,000 Day-Trading Rule for Pattern Day Traders
FINRA has eliminated the Pattern Day Trader (PDT) rule, which required traders with four or more day trades in five business days to maintain a $25,000 account balance. The change aims to modernize regulations and allow more small investors to participate in day trading. Brokerage firms may offer temporary exceptions for clients who violate the rule.
Topics: day trading FINRA investor protection Pattern Day Trader rule regulatory changes