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Dale Babcock Comment On Regulatory Notice 22-08

Dale Babcock
N/A

I would like to submit a public comment on possible restrictions on my right to invest in public investments. Especially leveraged and inverse funds.

By way of introduction, I am 60 years old, and make most all of the financial decisions in my household. I am an active investor in stocks, funds, bonds, emerging markets, and crypto. Basically, I trade in multiple and varied securities, and run my personal portfolio much like any investment broker.

I firmly believe that I should have access to the same tools and opportunities as any high net worth individual or hedge fund. To restrict my access to those vehicles puts the small investor at an extreme disadvantage. Simply put, it's discrimination.

For example, some options trading requires a margin account. I personally don't like margin. I can currently trade an inverse fund in lieu of using margin or an outright short. Shorting stocks or indexes has a higher degree of risk due to the amount of capital required to make that investment. I can make the same type of trade using as much or little capital that I am comfortable with. Which reduces risk and possible losses. It's a very good safety net.

Most investment vehicles are not that complex and I want to be able to choose my own investments using my own investment style and risk tolerance. I do not want regulators mandating what, how, and when investments may be available to me.

I guess the big question is what has changed, or what huge calamity occurred that requires regulatory lockdown on certain investment products? In layman's terms, "if it ain't broke, don't fix it". People just want a level playing field where each individual can make investment decisions to achieve financial freedom.

Thank you for your consideration.