I am a private citizen and individual investor concerned about limits on leveraged and inverse. These funds are an important tool for me as they present another method of limited exposure to leverage with less downside risk than many other leveraged strategies. They are an extremely important part of my strategy as they allow for amplification of strategies that take advantage of market momentum that non-leveraged strategies do not. Further, limiting or eliminating access to these funds suppresses the few tools that individual investors have relative to institutional investors making it even more difficult to compete in the stock market. It is well known that institutions use leverage and inverse strategies through derivatives that are not available to individual investors and reducing access to leveraged and inverse funds for individuals deepens the bias against individuals who are forced to participate in the market for primary retirement funding while simultaneously leaving us subject to its whims without access to even modestly sophisticated tools such as these.
Anonymous User Comment On Regulatory Notice 22-08
I am a private citizen and individual investor concerned about limits on leveraged and inverse. These funds are an important tool for me as they present another method of limited exposure to leverage with less downside risk than many other leveraged strategies. They are an extremely important part of my strategy as they allow for amplification of strategies that take advantage of market momentum that non-leveraged strategies do not. Further, limiting or eliminating access to these funds suppresses the few tools that individual investors have relative to institutional investors making it even more difficult to compete in the stock market. It is well known that institutions use leverage and inverse strategies through derivatives that are not available to individual investors and reducing access to leveraged and inverse funds for individuals deepens the bias against individuals who are forced to participate in the market for primary retirement funding while simultaneously leaving us subject to its whims without access to even modestly sophisticated tools such as these.