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Bradon Van Leuven Comment On Regulatory Notice 22-08

Bradon Van Leuven
N/A

The proposed rule will negatively impact many investors that don't meet the qualifications. The rule will only benefit the wealthy. Making qualifications on how people can spend their own money benefits only the rich and opens up channels of discrimination. I currently use a 3x leveraged inverse fund to hedge my portfolio. If the "demonstrate high net worth" is the same as the day trading on margin restrictions or higher, there is no way I would qualify. This will greatly impact my ability to hedge against a market downturn. This would exclude groups such as those just starting investing, the young that have just started to earn enough to invest. Without leveraged and inverse funds, the ability for individuals with lower net worth to hedge their portfolios is diminished. It could potentially cost these investors more money than it would protect from a poor investment decision in one of the same funds.