I, like many others, am fully capable of understanding market risks and specific investment risks of leveraged and inverse funds. I am capable of doing research, understanding risks, and making a decision on whether to invest. The decision should not be taken away from me or anyone else. If people are allowed to freely buy lottery tickets then so should anyone be allowed to invest in any product in the stock market. Anyone who doesn't understand the risks can make their own decision not to invest. A market-based system in a democracy allows for potential investors to have the choice and make the decision themselves. Passing some kind of test is ridiculous, paternalistic, and proves nothing as to a person's "fitness" to invest in any product. In a free country, any citizen should have the right to invest in whatever they wish so long as they have the funds to do so!
Ellen Levy Comment On Regulatory Notice 22-08
I, like many others, am fully capable of understanding market risks and specific investment risks of leveraged and inverse funds. I am capable of doing research, understanding risks, and making a decision on whether to invest. The decision should not be taken away from me or anyone else. If people are allowed to freely buy lottery tickets then so should anyone be allowed to invest in any product in the stock market. Anyone who doesn't understand the risks can make their own decision not to invest. A market-based system in a democracy allows for potential investors to have the choice and make the decision themselves. Passing some kind of test is ridiculous, paternalistic, and proves nothing as to a person's "fitness" to invest in any product. In a free country, any citizen should have the right to invest in whatever they wish so long as they have the funds to do so!