Elizabeth Misner Comment On Regulatory Notice 22-08
ELIZABETH MISNER
N/A
While leveraged and inverse funds have different levels of risk than non-leveraged finds, the public should have access to these publicly traded investments, not just high net worth individuals. Inverse funds are an important means of hedging without selling a security or ETF short, which is (relatively) lower risk for an investor and an important part of my personal investment strategy. Leveraged funds are also a (relatively) lower risk and more straightforward choice for an investor than options. I use them both long and inverse. Restricting their access may have an unintended consequence of pushing more investors into the riskier options market. I agree that investors should receive extra information about these funds -- as I am now by my broker, Schwab, -- but I don't believe that these publicly traded funds should be restricted to high net worth individuals or otherwise restricted in any way.
Elizabeth Misner Comment On Regulatory Notice 22-08
While leveraged and inverse funds have different levels of risk than non-leveraged finds, the public should have access to these publicly traded investments, not just high net worth individuals. Inverse funds are an important means of hedging without selling a security or ETF short, which is (relatively) lower risk for an investor and an important part of my personal investment strategy. Leveraged funds are also a (relatively) lower risk and more straightforward choice for an investor than options. I use them both long and inverse. Restricting their access may have an unintended consequence of pushing more investors into the riskier options market. I agree that investors should receive extra information about these funds -- as I am now by my broker, Schwab, -- but I don't believe that these publicly traded funds should be restricted to high net worth individuals or otherwise restricted in any way.