NASD Notice to Members 01-11 - February 2001

SEC Approves Proposed Rule Change Relating to Cash And Margin Treatment for Certain Types of Options Positions

Executive Summary

On November 17, 2000, the Securities and Exchange Commission (SEC or Commission) approved amendments to National Association of Securities Dealers, Inc. (NASD®) Rules 2520 and 2522, relating to margin requirements for certain options positions (the "amendments"). The amendments become effective on February 26, 2001 and are substantially similar to amendments by the Chicago Board Options Exchange (CBOE) and the New York Stock Exchange (NYSE) to their margin rules.

 

Questions concerning this Notice may be directed to Susan DeMando, Director, Financial Operations, Member Regulation, NASD Regulation, Inc. (NASD RegulationSM), at (202) 728-8411, or Stephanie M. Dumont, Associate General Counsel, Office of General Counsel, NASD Regulation, at (202) 728-8176.

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