Special Maintenance Margin Requirements
Like most other margin trading activity, day trades by non-pattern day traders require a minimum deposit of $2,000 prior to initiating each trade. For pattern day traders, FINRA requires a minimum equity of $25,000 in the account on any day that trading occurs. The $25,000 must be in the account prior to the first trade, and it must be maintained in the customer’s account at all times. If the broker-dealer knows or believes that the customer will engage in pattern day trading, it must require that the minimum equity of $25,000 be deposited in the account prior to commencement of day trading.
For day traders, the distinction between initial margin and maintenance margin is blurred. Day traders have a special maintenance margin requirement, wh