Series 7 Exam Podcast Episode 8 Margin Accounts

   • Series 7 Exam Prep - Margin FREE Class Replay   4.4 Addresses margin issues Knowledge of: • Requirements and characteristics of margin accounts (e.g., minimums, approvals, ineligible accounts, eligible/ineligible securities), and required disclosures (e.g., interest rate disclosure and hypothecation) • Product or strategy specific requirements (e.g., Treasury securities, mutual funds) • Calculations in margin accounts (e.g., long and/or short positions) • Initial margin: long market value, short market value, debit balance, credit balance, initial Regulation T margin requirement on long or short positions, Regulation T requirement for established accounts, loan value, excess equity, buying power of deposited securities • Maintenance: additional purchases, sales (long or short), cash withdrawals, stock withdrawals, simultaneous purchases and sales, restrictions, liquidation to meet a margin/maintenance call, deposit of cash or securities required to meet a margin or maintenance call • Special memorandum account (SMA): balance, buying power, prohibited use of SMA, effect of excess equity, deposit of marginable securities, receipt of cash dividends and earned interest, liquidation of securities in the account, cash or securities withdrawals, new margin securities purchased or sold short • Other margin accounts (e.g., portfolio margin, day trading)