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> SEC net capital obligations They have to meet certain governmental guidelines on deposits vs asset price risk. > clearinghouse deposits Clearing members ha
by totalZero 6y ago
> SEC net capital obligations
They have to meet certain governmental guidelines on deposits vs asset price risk.
> clearinghouse deposits
Clearing members have to deposit money into clearinghouses as insurance in case a firm goes under.
- miguelrochefort 6y agoI can understand how risk management might be necessary for margin trading, but is it really necessary for non-margin trading? And if it's a scaling issue, shouldn't all stocks be equally affected, rather than cherry-picking just a few?