I realize that you think you need to protect the public. If this is the case why not just restrict all of these types of plans. Putting restrictions in place so that a select few can use these investment vehicles makes it look like you are trying to create a protected class of people that can invest in this way. Don't they already have an advantage because of the way brokers treat them.
I have lost money investing in inverse funds but it gives me a portion of my investments that I can feel good about when all else is going against me. I have a small position in a fund like that because it helps me not panic on certain days when the market turns down. I can ride out a rough day by concentrating on the gains I made in this fund. It has kept me from a panic that would have cost me much more in the long run.
Andrew Kivela Comment On Regulatory Notice 22-08
I realize that you think you need to protect the public. If this is the case why not just restrict all of these types of plans. Putting restrictions in place so that a select few can use these investment vehicles makes it look like you are trying to create a protected class of people that can invest in this way. Don't they already have an advantage because of the way brokers treat them.
I have lost money investing in inverse funds but it gives me a portion of my investments that I can feel good about when all else is going against me. I have a small position in a fund like that because it helps me not panic on certain days when the market turns down. I can ride out a rough day by concentrating on the gains I made in this fund. It has kept me from a panic that would have cost me much more in the long run.