I would like to express my support for FINRA's continued actions to warn investors that they may be out of their depth.
I think that such policies should be revised for the online era, however. Complex products should have category IDs or acronyms associated with their structure, and online sites for the products should be required to list the acronyms corresponding to the product. There should be a well-written entry for each product type describing it's structure, what it's designed to accomplish, it's target customer demographic, and important considerations that are frequently forgotten about. Pedagogical experts should be consulted in creating this material.
There is an ongoing campaign being financed against this notice and advertised on e.g Twitter. I believe this fact should be kept in mind when considering the responses.
Chaz Maschman Comment On Regulatory Notice 22-08
I would like to express my support for FINRA's continued actions to warn investors that they may be out of their depth.
I think that such policies should be revised for the online era, however. Complex products should have category IDs or acronyms associated with their structure, and online sites for the products should be required to list the acronyms corresponding to the product. There should be a well-written entry for each product type describing it's structure, what it's designed to accomplish, it's target customer demographic, and important considerations that are frequently forgotten about. Pedagogical experts should be consulted in creating this material.
There is an ongoing campaign being financed against this notice and advertised on e.g Twitter. I believe this fact should be kept in mind when considering the responses.