Leverage accounts have been a part of my portfolio for years. It has given me a chance to make smaller dollar investments with the opportunity to make nice gains.
It definitely helps individual who do not have enormous amounts of capital.
Removing leverage accounts is un-American.
I strongly oppose limitations on investments.
USA was and has been built on the idea of venture into the unknown amid uncertainty. Restricting the free idea that one can succeed based on one's certainty of future and one's self-respect concerning the inherent or cultivate confidence is subduing the very idea of freedom behind the capitalism that has served as the foundation of our great nation.
Use of derivatives was proposed by Anddre Perod of Harvard Business School in about 2000 at the HBS Investment Management lectures. Security markets are not a one-way street, he explained. It is a good way to hedge portfoliios, and with leverage it can provide an efficient use of capital so long as there is an appropiate risk discipline as volatility is maximized.
Comments: Please do not get rid of leveraged inverse etfs. It gives people with less capital a chance to hedge their existing positions and even profit off the losses in their existing stock. The rich will always get richer in these situations, you will only be taking away our opportunity to make money in those situations.
Market manipulation has been there over decades. Traditional retailers is suffering more than anytime due to the leverage of capital that’s not based on equal ruling. On top, law enforcement agency has not been obligated with the assigned duty. When will an open and fair market/system be back?
Firms have shared the following ways they have used prior FINRA publications, such as Exam Findings Reports, Priorities Letters and Reports on FINRA’s Examination and Risk Monitoring Program, to enhance their compliance programs. Firms may consider these practices, if relevant to their business model. We welcome feedback on how our firms use FINRA publications.Assessment of Applicability:
I cannot express in the strongest of terms that it is my right as an individual investor to have the freedom to analyze macro-economic conditions and make investment choices that protect/grow my capital. This includes the possible need to invest in leveraged and inverse funds if the market conditions call for it with all the individual risks that go with personal ownership of alternative
The ability to trade inverse ETFs (easier to capitalize on a downward market for novice trader) and utilize leverage helps to encourage market participation by people in all income brackets. To take away these options would be a stride towards exclusivity based on economic status and further separate already diverging income classes and political parties.
As an investor we understand risks associated with investing in leveraged and inverse funds. Please do not restrict investors(esp retail) and make investing in stock market tougher. This regulations if brought in will impact investors/traders who are already in trading and they might incur huge loss in terms of capital depreciation by scaring away exiting and new investments.
Leveraged and inverse funds are important part of risk management. These funds make it possible to use a small percentage of capital to risk manage the other side of a trade. There are plenty of SEC / FINRA regulation as well as documentation on investments to understand the risk. Should investors ignore reading the documents of any and all investments that is the investors choice.
