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Dror Baron Comment On Regulatory Notice 22-08

Comments: I find the recent discussions about leveraged funds silly. It's been discussed in detail on various online forums how leveraged funds are good for short term trading, and are also fine for long term investment *provided* the investor is sufficiently informed about the rules. See, for example, the famous "hedgefundie adventure." Yes, there is volatility drag, but the examples cited online involve contrived scenarios where the market goes up and down 5-10% per day, many days in a row. How often does this happen?

Richard Parsons Comment On Regulatory Notice 22-08

The "big guys" have enough power and tools already to influence the actions of the stock market and I believe in many cases individual stocks. It's important that individual investors have the ability to invest, or trade, leveraged investments and inverse funds to achieve their portfolio objectives. These vehicles allow specific sector investing, regardless of the market conditions, without excessive exposure to any one company in that sector. This strategy is important in mitigating risk, or to hedge against other positions, in both up and down markets.