Series 24: Buying Power Of Day Trading Accounts

Buying Power of Day Trading Accounts

FINRA requires day trading accounts to have a minimum equity of $25,000 on any day that trading occurs. The $25,000 must be in the account prior to the first trade. In addition, the minimum maintenance requirement for a day trading account is 25%, the same as for the margin account of a trader holding a long position. Equity over and above the minimum maintenance requirement for a day trading account is called the maintenance margin excess.

Day trading accounts have a buying power of f