These recent weeks are en excellent example of why inverse funds should NOT be limited. Retail Investors like me who do their homework but have less access to sophisticated hedging strategies and expensive market research are able to use many these funds to protect ourselves. For example, I put on small positions in several unlevered inverse funds, reduced long positions, and have ridden out this storm basically flat while many of my friends with fee-collecting pro advisors and money managers have had large drawdowns. The 60/40 is not an option in this environment, nor is passive indexing. With so few options, please dont tip the scale against us any more!
Abigail Bengel Comment On Regulatory Notice 22-08
These recent weeks are en excellent example of why inverse funds should NOT be limited. Retail Investors like me who do their homework but have less access to sophisticated hedging strategies and expensive market research are able to use many these funds to protect ourselves. For example, I put on small positions in several unlevered inverse funds, reduced long positions, and have ridden out this storm basically flat while many of my friends with fee-collecting pro advisors and money managers have had large drawdowns. The 60/40 is not an option in this environment, nor is passive indexing. With so few options, please dont tip the scale against us any more!