There is nothing illegal about it, its just another trading vehicle. All currently permitted forms of trading involves some dimension of risk. It is upon the investor to understand the risks.
Please do not adopt radical restrictions on these leverage funds. We should be able to trade these! People can study risks themselves, and we need the freedom to choose to trade.
Hello,
I think that leveraged ETFs are of no use to anybody except for the people behind them. In addition to managing client assets for an RIA, I teach how to trade options and always tell my students to avoid leveraged ETFs like the plague. Most retail clients dont bother reading the prospectus to know that these are for day trading only or understand the slippage inherently built in to all
I strongly oppose this measure. People must have the right to freely trade investment products at their own risk and based on their own research. If an individual decides to blindly accept a financial institution/advisor's trading recommendations then that individual could lose significant amounts of money regardless of whether or not leveraged or inverse exchange-traded products are
SummaryThe national options exchanges are closing at 1:00 p.m. Eastern Time (ET) on Friday, November 29, 2024 (the Friday after Thanksgiving), which will modify the exercise cut-off time for expiring options. FINRA reminds firms that, pursuant to FINRA Rule 2360(b)(23)(A)(viii), if a national options exchange or The Options Clearing Corporation announces a modified time for the close of trading
The following FAQ is provided to facilitate firms' compliance with FINRA Rules 5190 (Notification Requirements for Offering Participants), 6275 (Withdrawal of Quotations) and 6435 (Withdrawal of Quotations in an OTC Equity Security in Compliance with SEC Regulation M). A comprehensive overview of these rules and related guidance is set forth in Regulatory Notice 08-74 and Regulatory
Along with my equity trading, I have used several of these L & I funds for several years as marked situation presented itself. So I strongly object to limit me from trading in these funds.
I believe that most people who do choose to invest in these funds are aware of the risks and do their own homework before they start investing. While I do believe that offering education on the risks, as well as risk mitigation strategies, would be beneficial for traders, I do not believe that extra layers of bureaucracy and testing will create better or safer traders, and will simply reduce the
NASD Rule 2110 - Standards of Commercial Honor and Principles of TradeMember ceasing to offer retail brokerage accounts with investment advisory and prime brokerage services may use negative response letters to accomplish the bulk transfer of its retail brokerage accounts to a newly formed broker-dealer.
I am using leveraged ETFs to trade short term volatility and handle my risk profile. I am reading Barrons, FundStrat reports and WSJ Market news to trade productively.
