Comments: I would be against limiting access to the leveraged indexes. These provide both diversity for small investors, while providing outsized returns at a lower cost than mutual funds. The TQQQ grew from $19 in March 2020 to $200 by Jan 2021 before a 2/1 split. It was up 1200% from Sept 2016 to Sept 2021. If FINRA is really looking out for investors, how is limiting such returns in the interests of small investors? Buying DIG a 2x oil ETF in Nov 2020 at $17 which then went up on the reopening of the economy to $157 on April 18, 2022... a return 9 fold in just 18 months.

Yes I ask that FINRA puts limit on how much money can be invested in L&I funds, it should be no more that 20% of portfolio, brokerage should limit purchase in this funds as these are extremely high risk funds that most investors do not understand. Sending a disclosure does not help as most people do not read it or undersand the language, it should be restricted by brokerage.

Comments: I am a licensed 6,7,63,65 FA, it has been 17 years since I passed my series 6 exam. I have a BS in Business and a MBA. I have almost 30 years of banking and finance experience. Leveraged ETFs are misunderstood and misevaluated by regulators and investors. If you examine the returns of leveraged ETFs that track major indices you will find that while they do not offer a superior "risk adjusted return", they do offer unprecedented returns in terms of total dollar returns. For example, if you invested $10,000 into SPXL in 12/2008 (inception) today you have close to $500k.

Enhancement to current rules

Comments: Access to Leveraged and Inverse ETFs should continue.

I have held Direxion leveraged ETF's for over 10 years, understand the risks as outlined, and have had no problem accepting the results of anticipating the market direction in specific areas. There are plenty of educational materials available. Don't fix what really isn't broke.

There is no need for any further regulation of leveraged or inverse ETF's. The risks of these products are widely known and understood by the vast majority of investor. It should be noted that they are no more risky than some of the "penny stocks" or "junk bonds" that currently trade. Despite using leverage, they are often less leveraged than many publicly traded companies.

There is no reason to restrict the retail investor from Leveraged and Inverse ETFs. The ETF companies and brokerage firms put out plenty of information and education about their products to keep the average investor informed. Trading stocks is risky it is not FINRA job to protect investors and traders from risk. As long as the ETF producers and brokerage firms make the information about the products available as they do now there is nothing FINRA should do.

Comments: FREEDOM TO CHOOSE should be the norm. in the market any and all financial products have risk embedded. the ONLY way a trader can make use of those products in a limited risk situation is by having correct and updated information that is really understandable to most, specially pointing extreme risk situations and by educating himself on how to handle risk with those products.

More regulation only produces an even great gap between those who are privileged enough to have financial advisors (and therefore access to sophisticated investments), and those who are not. Requiring a certain level of net worth is also a way to silo regular folks from taking advantage of the market. This is not right. People should be trusted to make their own financial decisions.