The broker call loan rate is:
A. The rate that member banks charge each other for overnight loans
B. The rate that banks charge their most credit worthy corporate customers on loans
C. The rate that the Federal Reserve Bank charges member banks on loans
D. The rate that banks charge to broker dealers to finance their customers’ margin purchases
Correct Answer(s):
D. The rate that banks charge to broker dealers to finance their customers’ margin purchases
Explanation:
The broker call rate is the rate that banks charge to broker dealers to finance their customers’ margin purchases
2021 © Securities CE, All Rights Reserved.
Privacy Policy | Terms of Service.