Certified Regulatory Compliance Manager (CRCM) — Question 45

_____________ requires that a statement of purpose be obtained from borrowers whose loans are to be greater than $100,000 and that will be secured by margin stock. Loans made for the purpose of purchasing margin stock are subject to additional limitations

Answer options

• A. Regulation U
• B. Regulation V
• C. Regulation Z
• D. Regulation X

Correct answer: A

Explanation

Regulation U specifically addresses the requirements for loans secured by margin stock, including the necessity for a statement of purpose for loans over $100,000. Regulation V, Z, and X do not pertain to margin stock or the specific requirements outlined in this context.