I do not know much about ETNs, can you please elaborate what them coming out of portfolio margining means. Thanks
Effective Friday August 16, 2019 all remaining Exchange Traded Note (“ETN”) products will be removed from the Customer Portfolio Margin (“CPM”) theoretical output file. ETNs are classified as debt instruments and are not included in the listing of instruments eligible for Portfolio Margin as provided for in FINRA Rule 4210(g)1 RedDuke, Fixed income is not PM eligible. ETNs are notes. The FINRA never wanted these symbols PM eligible. The OCC grandfathered most ETNs until early this year when VXX was restarted after it expired. That was not added to the file. This means in a PMA, you do not get leverage on these. They will either be held at 100% or at Reg-T margin based on the clearing broker. .