A share of stock for which the issuer has no right to request more payments from the holder as payment has been completed in full, and no outstanding amounts remain to be settled. This typically involves shares in a customer’s account that have been completely paid for. Such shares are held in a customer’s margin or cash account after having been paid for in full, and are not being posted as collateral to purchase other securities on margin.
For a broker, these shares constitute all shares carried for the account of a customer in a cash account or in a margin account or any special account, and which have no loan value for margin purposes, and all margin equity securities in such accounts that are fully paid.
Comments