Dennis Gehlhausen Comment On Regulatory Notice 22-08
Dennis Gehlhausen
N/A
My online broker just made me aware that regulations are being considered that would put additional restraints on my ability to trade leveraged and inverse ETF's. I object to what is unnecessary.
Following the logic the next step would be to put restraints on all online trading to the public. Then investments would be back to only being managed by brokers. Progress was made when Charles Schwab made investing cheaper and easier for the public in the 1970's.
I have been doing my own investing for 20 plus years. Why would I need to take a test? Tests are for brokers that deal with the public. There are times when I trade both leveraged and inverse ETF's. In fact all ETF's are the easiest way to invest with less risk. The risk of a 2X ETF is not that much different than a regular ETF but the returns are better. Stocks are risky. Neither leveraged or inverse ETF are marketed as long term investments by brokers. I approached trading cautiously which all brokers stress. Any sensible person would learn what is involved before taking any action. To that end there are many opportunities to learn to use technical analysis and trade management to stay out of trouble. These tools need to be used even when trading any simple ETF; the symbol SPY is an example.
I see not reason for anymore than what brokers are already doing to take care of their clients
Dennis Gehlhausen Comment On Regulatory Notice 22-08
My online broker just made me aware that regulations are being considered that would put additional restraints on my ability to trade leveraged and inverse ETF's. I object to what is unnecessary.
Following the logic the next step would be to put restraints on all online trading to the public. Then investments would be back to only being managed by brokers. Progress was made when Charles Schwab made investing cheaper and easier for the public in the 1970's.
I have been doing my own investing for 20 plus years. Why would I need to take a test? Tests are for brokers that deal with the public. There are times when I trade both leveraged and inverse ETF's. In fact all ETF's are the easiest way to invest with less risk. The risk of a 2X ETF is not that much different than a regular ETF but the returns are better. Stocks are risky. Neither leveraged or inverse ETF are marketed as long term investments by brokers. I approached trading cautiously which all brokers stress. Any sensible person would learn what is involved before taking any action. To that end there are many opportunities to learn to use technical analysis and trade management to stay out of trouble. These tools need to be used even when trading any simple ETF; the symbol SPY is an example.
I see not reason for anymore than what brokers are already doing to take care of their clients