A quick question on the account thresholds for Pattern day traders. I believe it is 25K as per the documentation. Can it be a mix of stocks and cash totalling 25K at any time ? And if so, are there no restrictions in the number of day trades if the threshold limit is met ?
Got a reply from support :
Pattern Day Trader (PDT) rules and requirements are set by FINRA. Here is the current language around account equity: Am I a Pattern Day Trader? Know the Day-Trading Margin Requirements | FINRA.org
First, pattern day traders must maintain minimum equity of $25,000 in their margin account on any day that the customer day trades. This required minimum equity, which can be a combination of cash and eligible securities, must be in your account prior to engaging in any day-trading activities. If the account falls below the $25,000 requirement, the pattern day trader will not be permitted to day trade until the account is restored to the $25,000 minimum equity level.