Other Regulators and Agencies
Chapters in this video
- 0:00 Federal Reserve and the 50% initial margin rule
- 2:40 Blue-sky laws and state regulator enforcement
- 3:50 NASAA coordinates but does not regulate
- 4:18 SIPC: $500,000 coverage and what it excludes
- 6:26 FDIC: bank deposits only, government agency
- 7:11 FDIC versus SIPC: the full five-part comparison
- 7:46 Rapid-fire exam recap
What this video covers
- Why the Federal Reserve sets initial margin at 50% under Regulation T, and why FINRA sets maintenance margin instead
- What blue-sky laws are, which entities enforce them, and the origin of the term
- Why NASAA coordinates state regulators but has no enforcement power of its own
- How SIPC coverage works: $500,000 total per separate account capacity, with a $250,000 cash-only sublimit
- What SIPC does not cover: market losses, bad advice, fraud, fixed annuities, commodity futures, and investments held outside a broker-dealer
- Why SIPC is a nonprofit membership corporation, not a government agency, and how that contrasts with the FDIC
- The complete FDIC versus SIPC comparison: bank deposits versus brokerage accounts, government agency versus nonprofit, $250,000 versus $500,000 limits
Read the full lesson, free
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