An Unsettling Deadline For Settling Trades

Charlie Pack is not looking forward to June 7. That's when a new federal regulation will require investors to fork over the cash to pay for securities in three days after a trade instead of five. The rule applies to all stocks, corporate and municipal bonds, and mutual funds. Pack is steamed because he'll lose flexibility over where he parks his cash. "It forces me to keep my money with the broker," says the 56-year-old software engineer from Los Altos Hills, Calif., who trades about twice a month.

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