I have been investing in leveraged index funds and mutual funds such as TQQQ (Nasdaq 100 index 3X bull), TECL (S&P 500 tech index 3X bull), and RMQHX (Nasdaq 100 index 2X bull). It is important for more risk-tolerant retail investors to be able to increase their returns without losing diversity in stocks. With the assumption that markets go up in the long run, these leveraged funds allow the retail investors to obtain higher returns in the long run without taking risks associated with concentrated positions. Moreover, putting trading restrictions during market downturns can result in retail investors suffering permanent losses by not being able to make up these losses when the market goes up. Therefore, I request that the retail investors should be able to continue to invest in these leveraged funds subject to the existing regulations. New regulations are not needed.
Gokhan Esirgen Comment On Regulatory Notice 22-08
I have been investing in leveraged index funds and mutual funds such as TQQQ (Nasdaq 100 index 3X bull), TECL (S&P 500 tech index 3X bull), and RMQHX (Nasdaq 100 index 2X bull). It is important for more risk-tolerant retail investors to be able to increase their returns without losing diversity in stocks. With the assumption that markets go up in the long run, these leveraged funds allow the retail investors to obtain higher returns in the long run without taking risks associated with concentrated positions. Moreover, putting trading restrictions during market downturns can result in retail investors suffering permanent losses by not being able to make up these losses when the market goes up. Therefore, I request that the retail investors should be able to continue to invest in these leveraged funds subject to the existing regulations. New regulations are not needed.