Regulation T Collateral Value of a Security Law and Legal Definition

According to 17 CFR 41.43 [Title 17 -- Commodity and Securities Exchanges; Chapter I -- Commodity Futures Trading Commission; Part 41 -- Security Futures Products; Subpart E -- Customer Accounts and Margin Requirements], regulation T collateral value of a security means “the current market value of the security reduced by the percentage of required margin for a position in the security held in a margin account under Regulation T promulgated by the Board of Governors of the Federal Reserve System.”