Anand Ramtahal, senior vice president of member regulation at the Financial Industry Regulatory Authority, said the agency will focus on broker-dealers and day traders getting assistance to avoid collateral requirements. Ramtahal said there has been an "explosion" of this type of activity. Firms group the collateral needs of their subaccounts, often used by day traders, to sidestep margining requirements. The subaccount activity, however, is often independent of master accounts, requiring more collateral.
Published in Brief: