09.24.25

Day Trading About To Get Easier for Smaller Retail Investors

by: Yun Li

The Financial Industry Regulatory Authority (FINRA) approved a change that could make day trading more accessible for smaller retail investors. The regulator voted to eliminate the $25,000 minimum equity rule for pattern day trading, which has restricted accounts with less capital since 2001. The rule required traders to maintain $25,000 to make four or more trades within five days. Instead, FINRA will implement an intraday margin rule, tying buying power to real-time margin requirements rather than a fixed balance. The change, pending approval from the Securities and Exchange Commission, reflects how technology has reshaped trading and could increase options activity, benefiting brokers like Robinhood.

Read the full article on CNBC