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8. Initial Margin Requirements under Regulations T, U, and X
Percent of market value
Effective date Margin stocks Convertible bonds Short sales, T only1
1934, Oct. 1 25-45
1936, Feb. 1 25-55
1936, Apr. 1 55
1937, Nov. 1 40 50
1945, Feb. 5 50 50
1945, July 5 75 75
1946, Jan. 21 100 100
1947, Feb. 1 75 75
1949, Mar. 3 50 50
1951, Jan. 17 75 75
1953, Feb. 20 50 50
1955, Jan. 4 60 60
1955, Apr. 23 70 70
1958, Jan. 16 50 50
1958, Aug. 5 70 70
1958, Oct. 16 90 90
1960, July 28 70 70
1962, July 10 50 50
1963, Nov. 6 70 70
1968, Mar. 11 70 50 70
1968, June 8 80 60 80
1970, May 6 65 50 65
1971, Dec. 6 55 50 55
1972, Nov. 24 65 50 65
1974, Jan. 3 50 50 50

Note: These regulations, adopted by the Board of Governors pursuant to the Securities Exchange Act of 1934, limit the amount of credit that may be extended for the purpose of purchasing or carrying "margin securities" (as defined in the regulations) when the loan is collateralized by such securities. The margin requirement, expressed as a percentage, is the difference between the market value of the securities being purchased or carried (100 percent) and the maximum loan value of the collateral as prescribed by the Board. Regulation T was adopted effective October 1, 1934; Regulation U, effective May 1, 1936; and Regulation X, effective November 1, 1971. The former Regulation G, which was adopted effective March 11, 1968, was merged into Regulation U, effective April 1, 1998.

1. From October 1, 1934, to October 31, 1937, the requirement was the margin "customarily required" by the brokers and dealers.   Return to table

Not applicable   Return to table

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