SEC ends $25k day trader rule

The U.S. Securities and Exchange Commission has officially approved the termination of the Pattern Day Trader rule, which previously required retail traders to maintain a minimum account balance of $25,000. The rule, established in 2001, had been a significant barrier to entry for many small-scale investors. Its removal is expected to increase market participation and has been a long-standing demand from retail trading communities and some lawmakers. The SEC's decision marks a major regulatory shift for the U.S. equities market.