Series 24: Regulation X

Taken from our Series 24 - FINRA General Principal Qualification Examination

Definition of the term Regulation X...

federal securities regulation enacted in 1971 to control the borrowing of purpose credit from abroad. A borrower that obtains credit outside the United States to purchase or carry securities issued by a United States corporation is subject to Regulation X if the borrower is (1) a U.S. citizen or corporation or (2) a foreigner controlled by or acting on behalf of a U.S. citizen.

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