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Ned Hodder Comment On Regulatory Notice 22-08

I manage over $90 million in client assets. A major part of our risk management strategy is to buy up to 35% in inverse funds on the rare occasions the technicals are very bad. This only happens once every few years. We use a 10% stop, so our clients have a 3.5% risk (10% of 35%) to make gains/hedge when the markets make major corrections. This is explained to our clients initially, and at every portfolio review meeting. Taking away this ability would expose my clients to greater risk, not less.

Narayanan Kaliaperumal Comment On Regulatory Notice 22-08

We understand the risks of 3x / 2x leveraged instruments and the cost involved in it. This is relatively safer and smaller than the actual Options and Futures which are time bound and involved in margin. If at all these instruments are restricted - it can be restricted from margin but with CASH trades - this must be open for every investor/trader to try to catch up on their retirements/savings