In regards to your proposed legislation to apply special criteria to investors who wish to trade in some leveraged or inverse funds. At the best, the proposed legislation is an additional burden to investors. At the worst is that it is discriminatory that shuts out small investors in favor of wealthy investors an private wealth or hedge funds. I currently have held one of these funds for over 11 years. It has allowed me to turn a small investment into up to 11 times it's size. I know it goes down farther than market swings, but it also goes higher than market gains too. And when I go to trade this fund in TD Ameritrade, it already has a yellow warning banner t the top of the page noting that this fund is not for all investors with links to why. If you want to "protect" small investors from ignorance, you simply cannot. Just lock at what happens with crypto currencies. Crypto is far more dangerous to small inventors than leveraged funds are. But if you feel you must add more regulations, do it at the broker level. Take that warning of the top of my trading page for these kinds of funds, and make me acknowledge the risks. But please don't make me take a test, demonstrate high net worth (which I am), go through reading materials, take a test, or go through a mandatory waiting period before I can make said investments.
Terry Yonce Comment On Regulatory Notice 22-08
In regards to your proposed legislation to apply special criteria to investors who wish to trade in some leveraged or inverse funds. At the best, the proposed legislation is an additional burden to investors. At the worst is that it is discriminatory that shuts out small investors in favor of wealthy investors an private wealth or hedge funds. I currently have held one of these funds for over 11 years. It has allowed me to turn a small investment into up to 11 times it's size. I know it goes down farther than market swings, but it also goes higher than market gains too. And when I go to trade this fund in TD Ameritrade, it already has a yellow warning banner t the top of the page noting that this fund is not for all investors with links to why. If you want to "protect" small investors from ignorance, you simply cannot. Just lock at what happens with crypto currencies. Crypto is far more dangerous to small inventors than leveraged funds are. But if you feel you must add more regulations, do it at the broker level. Take that warning of the top of my trading page for these kinds of funds, and make me acknowledge the risks. But please don't make me take a test, demonstrate high net worth (which I am), go through reading materials, take a test, or go through a mandatory waiting period before I can make said investments.