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fictitious credit

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Financial Dictionary

fictitious credit

The dollar amount credited to an investor's brokerage account following a short sale. The credit, which represents both the proceeds of the sale and the margin required under Regulation T, is used as collateral for the borrowed shares and may not be withdrawn by the investor.

Wall Street Words: An A to Z Guide to Investment Terms by David L. Scott.
Copyright © 2003. Published by Houghton Mifflin.
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