The absolute minimum initial margin requirement is set by the:
A)individual investor.
B)brokerage firm.
C)Federal Reserve.
D)Security Investors Protection Corporation.
E)Securities and Exchange Commission.

Question

Quizplus · Accepted Answer

The Federal Reserve sets the absolute minimum initial margin requirements for investors buying securities on margin, as outlined in Regulation T. This regulation establishes the percentage of the purchase price of securities (such as stocks) that must be paid for with the investor's own funds.

The Absolute Minimum Initial Margin Requirement Is Set by The