I object to any prohibition to banning inverse funds. They are an easy way of shorting markets. It's useful to me to have a small ammount in inverse funds that can be sold to buy stocks in a crash.
Instead of trying to pass more restrictions for average lower income bracket investors, how about you looking into institutional shorting of stocks? The way they manipulate the market so easily is criminal.
Please do something about the manipulation of the AMC and GME stocks. Excessive dark pool trading, excessive short selling, being contributing factors.
This is proposal is another fine example of government intervention where none is needed. I know that this proposal is written by special interest groups driven by their profit motivation not for the best interest of the public. No one is going to invest in a leveraged fund unless they know what they are investing in. In no way should regulations require that investors go through any special
Leveraged and inverse funds are important to my investment strategies. I will literally quit investing without them.
In terms of the risks, many of them are based on broad based indices, i.e. SP500 or DOW. As such, these funds are diversified with just a higher volatility. I understand the risk. In market, many other types of risks such as bankrupt risk, fraud accounting risk, etc is non-exist
Please investigate criminal activity such as naked shorting dark pool dumps into any hedge funds that are illegally affecting a market of any given stock.
The fines and ENFORCEMENT for naked shorting have to create enough pain to dissuade investors as a whole from performing them. Regulation must be enforced for ALL.
It seems to me market makers can profit from and manipulate by failing to deliver. there should be greater penalties and a shorter time to cover naked shorts.
Shorting shares should be limited to the shares you actually own. No borrowed shares. No corporate bond shares. No fake shares. ACTUAL Shares owned!!!
Shorts need to be reported daily. The stock market needs more transparency and less manipulation. This will only help ensure a fair market for ALL investors.
