December 01, 2009

Higher Margin Requirements for Leveraged ETFs

New FINRA regulations on leveraged ETFs came into effect today, December 1st, 2009.  Maintenance margin requirements on leveraged ETFs are now 60% on 2x leveraged ETFs (both long/short) and 90% on 3x leveraged ETFs (both long/short).  Please consider these new requirements when assessing transactions in these non-traditional ETFs.

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