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Up to Dec 1 2010Dec 2 2010 onwards

Rule 432. Daily Record of Required Margin

This rule is no longer applicable. NYSE Rule 432 has been superseded by FINRA Rule 4220. Please consult the appropriate FINRA Rule.

(a) Each member organization carrying securities margin accounts for customers shall make a record each day of every case in which, pursuant to the rules of the Exchange or Regulation T of the Board of Governors of the Federal Reserve System, initial or additional margin must be obtained in a customer's account. The record shall show, for each account, the amount of margin so required and the date when and manner in which cash or securities are deposited or the margin requirements were otherwise complied with.

Margin met by liquidation

(b) Pursuant to Rule 431(f)(7), no member organization shall permit a customer to make a practice of effecting transactions requiring initial margin and then meeting the margin required by liquidation of the same or other commitments; except that the provisions of this section (b) shall not apply to any account carried on an omnibus basis as prescribed by Regulation T of the Board of Governors of the Federal Reserve System.

• • • Supplementary Material: --------------

.10 Form of record

The Exchange has not prescribed a form for use in making and maintaining the record.

Individual entries will be deemed a "record" within the meaning of Rule 432(a), and such entries need not be combined and kept as a separate record.
.20 Place where record is to be maintained

A member organization whose customers' accounts are carried on books located only at its main office should maintain the record at its main office. A member organization whose customers' accounts are carried on books located at two or more offices should keep the record at each of such offices with respect to the customers' accounts carried on the books of such office. The record must be kept available for inspection at the office at which it is maintained.
.30 Meaning of the term "customer"

For the purpose of Rule 432, the term "customer" has the same meaning as in Rule 431(a).
Amendments.
February 9, 1968.
January 23, 1978.
October 7, 1982.
September 1, 1987.

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