I have been using leveraged and inverse ETFs with great success for 12 years, with proof of performance results far greater than S&P 500. I have an MBA from Tulane, but my trading education began by studying with Steve Lescarbeau, featured in Market Wizards by Jack Schwager. My experience and methods of analysis of selecting appropriate funds are far beyond the many authors of articles about leveraged funds, the vast majority panning them, and viewing them through an ultra short term prism. To be blunt, they have missed the boat. Over a ten year period many have returned many times the usual market benchmarks. For example, the 2020 decline of 34% of S&P of TQQQ from Feb 11 to March 23 in theory would wipe out the fund. It declined only 69%, however, because of very effective puts, the cost of which obviously reduce returns but worked very well. I challenge anyone to compare my results with theirs. The current downturn started in late November 2021; it is ridiculous to call for regulation at this time, and it appears FINRA is just making use of a crisis to attempt to get its way in controlling this growing segment of the market, to which THEY HAVE BEEN OPPOSED HYSTERICALLY FROM WHEN THE FIRST LEVERAGED FUNDS APPEARED!!!
James Johnson Comment On Regulatory Notice 22-08
I have been using leveraged and inverse ETFs with great success for 12 years, with proof of performance results far greater than S&P 500. I have an MBA from Tulane, but my trading education began by studying with Steve Lescarbeau, featured in Market Wizards by Jack Schwager. My experience and methods of analysis of selecting appropriate funds are far beyond the many authors of articles about leveraged funds, the vast majority panning them, and viewing them through an ultra short term prism. To be blunt, they have missed the boat. Over a ten year period many have returned many times the usual market benchmarks. For example, the 2020 decline of 34% of S&P of TQQQ from Feb 11 to March 23 in theory would wipe out the fund. It declined only 69%, however, because of very effective puts, the cost of which obviously reduce returns but worked very well. I challenge anyone to compare my results with theirs. The current downturn started in late November 2021; it is ridiculous to call for regulation at this time, and it appears FINRA is just making use of a crisis to attempt to get its way in controlling this growing segment of the market, to which THEY HAVE BEEN OPPOSED HYSTERICALLY FROM WHEN THE FIRST LEVERAGED FUNDS APPEARED!!!