Effective June 4, 2026, FINRA amended Rule 4210, replacing the Pattern Day Trader framework with a new Intraday Margin standard.

The Pattern Day Trader designation, the $25,000 minimum equity requirement, and the four-trades-in-five-days test have all been eliminated. In their place, a $2,000 margin equity threshold governs access to Intraday Margin Buying Power in a margin account.

Intraday Margin Buying Power is calculated in real time based on your Margin Excess — the equity remaining in your account after the margin requirements on your open positions are met. Accounts with Margin Equity at or above $2,000 may access up to 4× their Margin Excess for intraday trading. If Margin Equity falls below $2,000, buying power is limited to 1× Margin Excess until equity is restored.

Intraday Margin Buying Power is intended for same-day use only. Positions held past market close are subject to a separate Overnight Buying Power calculation. Holding positions overnight using full intraday leverage may result in a margin call.

The use of cross-guarantees to meet any margin requirements remains prohibited.

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