Having used these products for a very long time, i would make the following observations:
* these instruments fix leverage as opposed to variable leverage provided on margin by brokerages. individual investors are smart enough to adjust their own leverage accordingly.
* the cost of borrowing implicit in leverage funds will often be better than the margin charged to individual investors by their
To FINRA,
The United States has always thrived as a free economy, and if many of these complex products are made unavailable to the lower net worth or individuals not formally educated, it will only hurt the little man. How is a person who cant even make it past the $25,000 limit on day trading supposed to effectively hedge without using leveraged products or options? It is my personal opinion
I see restricting access to the different types of investment products as overbearing and manipulative of market forces.
The use of inverse and leverage funds are an important market access for all people in the country, for a variety of purposes. They should not be a core part of a portfolio, but do serve a place in building a well-balanced financial plan.
For example, if I am looking to
This conference comes at an important time, in the aftermath of a very difficult period. If we look back to the summer and fall of 2008, every time we thought conditions in the financial sector couldn't get worse, they did, and we ultimately came to the brink of a global market meltdown.
Thank you, Steve [Freedman] for that introduction. And thank you to Fordham's College of Business Administration for organizing this conference and inviting me to speak. I'd like to acknowledge a good friend, John Tognino, who I know is a highly valued member of the Fordham community.
SUGGESTED ROUTING:*
Senior ManagementGovernment SecuritiesLegal & ComplianceOperations*These are suggested departments only. Others may be appropriate for your firm.
The NASD recently has been advised by the Department of the Treasury, Bureau of the Public Debt, of the reported misuse of federal government Form PD 1832, "Special Form of Detached Assignment for United States
FULL TRANSPARENCY/ NO MORE LOOPHOLES Investors demand an end to the systemic corruption and crime that is plaguing our markets through un-regulated short selling that siphons real value from companies and investors and PREVENTS proper price discovery. Direct Registering (DRS via a transfer agent) shares is currently the ONLY way to escape the rampant fraud and the ineffective, unenforced
All information regarding what is happening on the stock exchange should be made public, otherwise the „game” is not fair. Short positions should be reporter and tracked daily. The lack of transparency only creates opportunities for Big players. A great example was set by regulators in South Korea who recently made the fines surrounding synthetic/naked shorting/FTDs to appropriately (!) reflect
Exemptive relief is granted based on: representations that at the time of the contribution the individual was not employed by the firm and was not an MFP; the firm already had a significant business relationship with the state of whom the contribution recipient is an issuer official (as defined); the firm has instituted information barriers on certain municipal business communications; the individual will be prohibited from the solicitation of certain new municipal business for a period of time.
FINRA welcomes comments on this paper, including input from financial industry market participants who are currently exploring metaverse technology or have identified other use cases in the securities industry.
