Regulating what assets a person can buy is not capitalism. The regulators aka central planners are intentionally or unintentionally turning the stock market into a place where only the wealthy can invest and expect great returns. Instead of regulating the 100's of millions of individual investors your energy would be better used regulating the trades of our congress men and women who
While leveraged and inverse funds have different levels of risk than non-leveraged finds, the public should have access to these publicly traded investments, not just high net worth individuals. Inverse funds are an important means of hedging without selling a security or ETF short, which is (relatively) lower risk for an investor and an important part of my personal investment strategy.
Summary
With the recent increase in the number of customers seeking to open brokerage accounts and trade options, FINRA reminds members of the requirements for determining whether to approve a customer to trade options. Regardless of whether the account is self-directed or options are being recommended, members must perform due diligence on the customer and collect information about the customer
I've been using various leveraged and inverse funds for 20+ years. They are an integral part of my overall investment portfolio. I already had to convince Fidelity Investments that I understood these types of trading vehicles by reading, educating myself and signing a consent form. And they periodically (every other year or so) request that I sign the consent forms again. And I
It poses a severe threat towards market fairness. It further discriminate retail traders or investors from choosing the financial products that fit their trading needs because institutional investors are free of using high leverage in their trading. We, as retail investors, are fully aware of conditions, fees and risks of leveraged index ETF. They should NOT be made available only to a small rich
Currently, I invest in TQQQ and a bond ETF. I take advantage of TQQQ's volatility and sell a portion of my holding when it goes up more than 9% in a CY quarter (moving dollars into my bond ETF) and and buy TQQQ when it goes down (sell portion of my bond ETF to do so). I do this trade just 4 times a year (at the end of each quarter). This type of trading has allowed me to significantly
As an educated investor I should have the ability to trade any instrument that I want just like any professional.
Please do not restrict my access to leveraged funds. I am capable of self managing my trades.
I oppose any limitations or restrictions on my ability to my acquire any type of publicly traded funds.
Use of leverage and leveraged ETFs to trade stocks is my business NOT the governments.
Stay out of my accounts!!
