Comments: At every step along the way of purchasing a leveraged ETF or ETN asset, it is very clear that these products should be held for short term active speculative purposes. Every website you go to when researching the products immediately warns traders about the dangers of beta decay due to long term holding of such assets. I would argue that the risks associated with trading leveraged ETFs
I won't speak to all "complex products" - but the vague, undefined and arbitrary definition should be more tightly drafted to not include or restrict retail customer access to investments as relatively simple as a 2x or 3x index-based fund. These types of investment can help pass along economies of scale with respect to borrowing and therefore increase access to the markets for
FINRA should not impede retail traders. FINRA should instead regulate institutions to prevent them from taking too large positions all on one side as seen with so called "meme stocks". Institutions all have the same information, they all bet on the same side of futures and create volatility far in excess of their ability to cover positions. Through this practice of
I am writing to ask that you do not put investment restrictions on individual investors with regards to leveraged funds and inverse funds. These funds are safer than taking out margin in my brokerage account to leverage up my positions. Inverse funds are great for portfolio management at times like this when the stock market is over valued and the federal reserve is raising interest rates. It is
Good morning, It is my understanding that there are proposed restrictions on individuals using leveraged and inverse ETFs investment instruments. My use of ETFs offer me diversity, liquidity and income. The ETFs invest in a large number of stock which spread risk. The active ones also trade millions of shares per day which offer the ability to sell shares quickly and because of their volume the
The decision on whether or not an inverse or leveraged product be available to an investor ought to rest solely with the investor. Any investor who would be willing to use such products is well aware of the risks and can make their own financial decisions. These are complicated products that the retail trader would not use. To be able to properly invest in financial markets requires extensive
I have spent the last year in classes three times a week to learn how to invest in stocks and trade options, hundreds of hours. I have the right and the knowledge to invest in any instruments I choose which should be my decision without interference with regulators. I have been using leveraged and inverse funds over the last year. I continue to learn and improve my skills. I am responsible for my
SUGGESTED ROUTING
Senior ManagementLegal & ComplianceOperationsSystemsTrading
Executive Summary
On January 6, 1994, the Securities and Exchange Commission (SEC) approved an amendment adding a new Section 46 to the NASD Rules of Fair Practice that requires members holding open orders to adjust the price and the size, if necessary, of the order by the amount of any dividend, payment
Last Voting Date: October 29, 1993
SUGGESTED ROUTING
Senior ManagementLegal & ComplianceOperationsTrading
Executive Summary
The NASD invites members to vote on a proposed new section to the Rules of Fair Practice that would require a member holding an open order to adjust the order by the amount of any dividend, payment, or distribution on the day that the security is quoted
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Senior Management
Continuing Education
Legal & Compliance
Executive Summary
The Securities Industry/regulatory Council on Continuing Education (Council) includes 13 members representing a cross-section of securities firms and six self-regulatory organizations (SrOs).1
