SECFinal Rule
Required Daily Computation of Customer and Broker-Dealer Reserve Requirements under the Broker-Dealer Customer Protection Rule
Finance & Banking
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Summary
This SEC rule requires investment firms to calculate and track customer money and securities every single day to ensure they have enough reserves to protect customer accounts. This protects everyday investors by making sure brokers can't spend or misuse customer funds and have safeguards in place if the firm fails.
Key Points
- 1Brokers must calculate how much customer money and securities they're holding every day, not just occasionally
- 2Firms must maintain minimum reserve amounts based on these daily calculations to protect customer assets
- 3This rule strengthens protections for everyday investors who have accounts with stock brokers or investment firms
- 4Daily monitoring helps catch problems earlier if a broker is not properly safeguarding customer money
- 5Investment firms must report their reserve calculations to regulators to ensure compliance with these requirements
Key Dates
Published
July 1, 2025
This summary is for informational purposes only. It may not capture all nuances of the regulation. Always refer to the official text for authoritative information.
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