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Eric Won Comment On Regulatory Notice 22-08

Eric Won
N/A

Please consider that some investors utilize ETFs that are inversely related to financial instruments like stocks, indexes or bonds to short a market without the unlimited losses possible if shorting those instruments directly. These types of ETFs allow small investors to limit their risk and conveniently position themselves to benefit from declining markets.

Additionally, instruments that short indexes like EUM (short emerging markets) allow investors to benefit from generally declining markets overseas without speculating directly on individual stocks or bonds in those markets. This also is a way to reduce risk and conveniently trade in those markets.