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7/25/24, 9:31 AM FRB: Press Release -- Revised list of OTC stocks subject to margin regulations and list of foreign equity securities meeting Regulati… Release Date: April 24, 1998 The Federal Reserve Board today published a revised list of over-the-counter (OTC) market stocks that meet the margin criteria in Regulation T (OTC List). Also published today is a revised list of foreign equity securities that meet the margin criteria in Regulation T (Foreign List). The Lists are effective May 11, 1998, and supersede the previous Lists published effective February 9, 1998. The changes that have been made to the revised OTC List, which now contains 4,852 OTC stocks, are as follows: 160 stocks have been included for the first time, 120 under National Market System (NMS) designation; 53 stocks previously on the List have been removed for substantially failing to meet the requirements for continued listing; 105 stocks have been removed for reasons such as listing on a national securities exchange or involvement in an acquisition. Lenders subject to Regulation T and borrowers subject to Regulation X who are required under Section 224.3(a) to conform credit they obtain to Regulation T must use the OTC List until publication of the next OTC List, anticipated for August 1998. An amendment to Regulation T that will make all stocks trading in the Nasdaq Stock Market marginable at brokers and dealers will be effective January 1, 1999. The Board will cease publication of the OTC List at that time. The Foreign List is composed of foreign equity securities that are eligible for margin treatment at broker-dealers. Effective July 1, 1996, foreign stocks that have a "ready market" for purposes of the Securities Exchange Commission's (SEC) net capital rule may be included on the Foreign List. The SEC effectively treats all stocks included on the Financial Times/Standard & Poor's Actuaries World Indices (FT/S&P-AW Indices) as having a "ready market" for capital purposes. The Board is adding 73 foreign stocks and deleting 61, based on changes to the FT/S&P-AW Indices. The revised Foreign List now contains 1,942 securities displayed in country order. It is unlawful for any person to cause any representation to be made that inclusion of a stock on the OTC List or the Foreign List indicates that the Board or the Securities and Exchange Commission has in any way passed upon the merits of any such stock or transaction therein. Any references to the Board in connection with these Lists or any stocks thereon in any advertisement or similar communications is unlawful. Summary only Marginable OTC and Foreign Margin Stocks (184 KB PDF) Marginable OTC and Foreign Margin Stocks (377 KB ASCII) Marginable OTC Stocks only (133 KB PDF) Foreign Margin Stocks only (60 KB PDF) 1998 Banking and consumer regulatory policy https://www.federalreserve.gov/boarddocs/press/general/1998/19980424/ 1/2 7/25/24, 9:31 AM FRB: Press Release -- Revised list of OTC stocks subject to margin regulations and list of foreign equity securities meeting Regulati… Home | News and events Accessibility Last update: April 27, 1998, 10:30 AM https://www.federalreserve.gov/boarddocs/press/general/1998/19980424/ 2/2