Federal Reserve Board
About the List of Foreign Margin Stocks

The List of Foreign Margin Stocks consists of foreign equity securities that have met the eligibility criteria of the Board of Governors of the Federal Reserve System under its Regulation T, section 220.11, and are thus eligible for margin treatment at brokers and dealers on the same basis as domestic margin securities. Other foreign stocks are also eligible if they have a "ready market" under the Securities and Exchange Commission's net capital rule, 15c3-1 (17 CFR 240.15c3-1), or if the agency has issued a "no action" position under that rule. In 1993, the SEC issued a no-action letter that permits brokers and dealers to treat all foreign stocks in what is now known as the FTSE World Index Series as having a ready market; therefore all stocks in the FTSE World Index Series qualify for margin treatment. In 2012, the SEC issued a no-action letter expanding the number of foreign equity securities deemed to have a ready market under their net capital rule. These stocks are eligible for margin treatment at brokers and dealers on the same basis as stocks in the FTSE World Index Series.

With the Board's December 23, 1997, amendments to its margin regulations, brokers and dealers became able as of January 1, 1999, to offer margin credit on all stocks trading in the Nasdaq Stock Market. Therefore the Board ceased publication of its quarterly List of Marginable OTC Stocks with the November 9, 1998, list.


List of foreign margin stocks