The current system is completely rigged against the small retail investor. Short sellers trade synthetic shares and naked shorts back and forth to one another- which creates downward pricing pressure on a stock. How does my 1 share compete against a Short Sellers 1 share that converts into 1000 synthetic shares? How is it possible 3X, 4X, 5X etc the entire float can be traded- with the large majority of trades being "hidden?" If Naked shorting is in fact against the law, why is that law never enforced? Naked shorting is done in broad daylight without penalties. How can a stock price be driven down on a day when two shares are bought for every one share sold- on the "open market." Could we use additional regulations- probably. I suggest we start by first enforcing the laws that already exist. That makes more sense to me than creating additional laws that will just be ignored. The system is broken. Daniel
Daniel Comment On Regulatory Notice 21-19
The current system is completely rigged against the small retail investor. Short sellers trade synthetic shares and naked shorts back and forth to one another- which creates downward pricing pressure on a stock. How does my 1 share compete against a Short Sellers 1 share that converts into 1000 synthetic shares? How is it possible 3X, 4X, 5X etc the entire float can be traded- with the large majority of trades being "hidden?" If Naked shorting is in fact against the law, why is that law never enforced? Naked shorting is done in broad daylight without penalties. How can a stock price be driven down on a day when two shares are bought for every one share sold- on the "open market." Could we use additional regulations- probably. I suggest we start by first enforcing the laws that already exist. That makes more sense to me than creating additional laws that will just be ignored. The system is broken. Daniel