Comments: L & I funds are no more risky than playing Options. If anything you should be limiting individual investors availability in using leverage to play options, or options trading in general, which can hurt the market as well. Options trading is far more like gambling and less like investing than anything else, had gained popularity with the newer more uneducated investing crowd and I have seen far more people lose a ton of money faster on bad/uneducated options plays than on day trading L&I funds. If you're seeking to regulate or make L&I funds more difficult more your avergage investor, you're picking on the middle child as far as risk is concerned. You're focused on mitigating the wrong risk
James Gresham Comment On Regulatory Notice 22-08
Comments: L & I funds are no more risky than playing Options. If anything you should be limiting individual investors availability in using leverage to play options, or options trading in general, which can hurt the market as well. Options trading is far more like gambling and less like investing than anything else, had gained popularity with the newer more uneducated investing crowd and I have seen far more people lose a ton of money faster on bad/uneducated options plays than on day trading L&I funds. If you're seeking to regulate or make L&I funds more difficult more your avergage investor, you're picking on the middle child as far as risk is concerned. You're focused on mitigating the wrong risk