SEC Approves Elimination of PDT Rule, Removing $25K Account Minimum for Day Trading

GateNews

Gate News message, April 15 — The U.S. Securities and Exchange Commission (SEC) formally approved FINRA’s proposal to revise Rule 4210 on April 14, effectively abolishing the Pattern Day Trader (PDT) rule that has long restricted retail investors. The new framework eliminates the $25,000 minimum account balance requirement for unlimited intraday trading, replacing it with a risk-based “intraday margin” calculation model that allows investors to trade as long as they maintain sufficient net equity to cover their real-time position risk.

The SEC stated that the elimination of the PDT rule modernizes the regulatory framework, removes unfair restrictions on small investors, and enhances market liquidity. The new rules are expected to take effect within 45 days.

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