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Ron Golaesewski Comment On Regulatory Notice 21-19

Ron Golaesewski
N/A

FINRA 21-19 addresses many of the shortcomings of our opaque market. While I support the reporting enhancements, I would like to see further action taken by FINRA to bring transparency to short selling. Short selling, while providing liquidity to the market, also brings the challenge of unlimited risk. Unlimited risk (e.g. a short squeeze) drives market participants to engage in unethical and illegal behavior. By casting sunlight on short selling positions, and eliminating the myriad loopholes that exist to hide short positions, the market becomes a more transparent and allows for true price discovery to happen. Bad actors have abused the grossly inadequate short reporting requirements for too long, at untold cost to market participants. Our nation exists because of a shared collective belief in the free market, when participants are allowed to abuse the market, our collective identity is deteriorated, at some point this abuse will merit a reprisal. FINRA acts as an agent of power and has a responsibility to be a good steward of the market, failure to do so threatens the free world.