Leveraged and inverse funds are highly valued-liquid trading instruments that I find very useful for quickly getting long and or short the market and are frequently used for hedging purposes. These products provide a very effective means to manage capital at market risk and there are no other inexpensive-scalable alternatives available to retail investors. These leveraged products provide investors the opportunity to achieve similar performance without tying up as much capital which increases precious liquidity for other investments and non-investment needs.
Michael Elkins Comment On Regulatory Notice 22-08
Leveraged and inverse funds are highly valued-liquid trading instruments that I find very useful for quickly getting long and or short the market and are frequently used for hedging purposes. These products provide a very effective means to manage capital at market risk and there are no other inexpensive-scalable alternatives available to retail investors. These leveraged products provide investors the opportunity to achieve similar performance without tying up as much capital which increases precious liquidity for other investments and non-investment needs.