Leveraged and inverse ETF products are fantastic tools that enable investors of every size to structure their own investment strategy. I personally use leveraged ETFs to generate market comparable returns while retaining a higher cash position than I would otherwise be able to do. I've also used inverse ETFs to protect my portfolio during falling markets. My young adult children invest in leveraged ETFs in their Roth IRAs to maximize long term investment gains.
Overregulation of inverse and/or leveraged ETFs simply reduces the ability of regular, responsible investors to generate wealth, so I guess it's not altogether surprising to see FINRA trying to suppress them.
Neither the products nor the investors who use them need additional regulation. Leave them alone.
Jack Dodgen Comment On Regulatory Notice 22-08
Leveraged and inverse ETF products are fantastic tools that enable investors of every size to structure their own investment strategy. I personally use leveraged ETFs to generate market comparable returns while retaining a higher cash position than I would otherwise be able to do. I've also used inverse ETFs to protect my portfolio during falling markets. My young adult children invest in leveraged ETFs in their Roth IRAs to maximize long term investment gains.
Overregulation of inverse and/or leveraged ETFs simply reduces the ability of regular, responsible investors to generate wealth, so I guess it's not altogether surprising to see FINRA trying to suppress them.
Neither the products nor the investors who use them need additional regulation. Leave them alone.