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FINRA amends rules to address binary options

Image of traders working on the floor of the New York Stock Exchange.
Photo: Michael M. Santiago/Getty Images

FINRA has adopted major amendments and updated interpretations regarding margin requirements and binary options.

FINRA has adopted amendments to its rules and updated its relevant interpretations to address binary options to ensure the existing regulatory framework is applied to these products. The regulator released the changes in Regulatory Notice 26-21, noting the changes, their impact, scope, and further offering interpretations to specific rule requirements.

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