Regulation U (12 CFR 221)
- Regulation U (12 CFR 221)
-
USA
The Federal Reserve Board regulation that governs loans made by banks for the purpose of buying securities. The regulation is intended to protect investors and limit speculative bubbles in the securities markets by limiting the amount of credit available to purchase securities. The importance to lenders is that it provides that no more than 50% of the value of the loan can be secured by publicly traded stock; loans made in violation of the regulation are void (Securities Exchange Act of 1934, Section 7).
The former Regulation G (which applied to non-bank, non-broker-dealer lenders in the US before 1998) was rolled into Regulation U.
For further information see Regulation U:
Practical Law Dictionary. Glossary of UK, US and international legal terms.
www.practicallaw.com.
2010.
Look at other dictionaries:
Regulation U — / yü/ n: a regulation of the Board of Governors of the Federal Reserve System imposing credit restrictions on banks that extend credit for the purpose of buying or carrying margin stock if the credit is secured directly or indirectly by margin… … Law dictionary
Title 47 CFR Part 15 — In the U.S., Part 15 is an often quoted section of Federal Communications Commission (FCC) rules and regulations, mainly regarding unlicensed transmissions. It is a part of Title 47 of the Code of Federal Regulations (CFR), and regulates… … Wikipedia
REG U — USA Regulation U (12 CFR 221) (REG U) Regulation U. Also known as margin regulations. The Federal Reserve Board regulation that governs loans made by banks for the purpose of buying securities. The regulation is intended to protect investors and… … Law dictionary
Reg U — USA Regulation U (12 CFR 221) (REG U) Regulation U. Also known as margin regulations. The Federal Reserve Board regulation that governs loans made by banks for the purpose of buying securities. The regulation is intended to protect investors and… … Law dictionary
margin regulations — USA Regulation U (12 CFR 221) (REG U) Regulation U. Also known as margin regulations. The Federal Reserve Board regulation that governs loans made by banks for the purpose of buying securities. The regulation is intended to protect investors and… … Law dictionary
China — This article is about the People s Republic of China. For the state commonly known as Taiwan, see the Republic of China. For other uses, see China (disambiguation). PRC redirects here. For other uses, see PRC (disambiguation). People … Wikipedia
Food and Drug Administration — FDA redirects here. For other uses, see FDA (disambiguation). Food and Drug Administration Agency overview Formed 1906 … Wikipedia
U.S. Food and Drug Administration — Infobox Government agency agency name = Food and Drug Administration parent agency = logo width = 200px logo caption = FDA Logo formed = 1906 [cite web|url=http://www.fda.gov/centennial/|title=FDA Centennial 1906 2006|accessdate=2008 09… … Wikipedia
Mining engineering — Surface coal mine with haul truck in foreground Mining engineering is an engineering discipline that involves the practice, the theory, the science, the technology, and application of extracting and processing minerals from a naturally occurring… … Wikipedia
Political positions of John McCain — U.S. Senator John McCain (R AZ), a member of the U.S. Congress since 1983, a two time U.S. presidential candidate, and the nominee of the Republican Party in the 2008 U.S. Presidential election, has taken positions on many political issues… … Wikipedia
