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John Halasz Comment On Regulatory Notice 22-08

John Halasz
N/A

Dear FINRA,

As a retail investor, I was shocked to learn of the potential move to limit my access to financial products that have been available on public markets for years. I find the prospect of my ability to invest my money being limited simply because I am not a "high net worth" individual extremely upsetting, and I urge you to not restrict products deemed complex.

If I'm restricted from purchasing the complex products I count as part of my investment strategy (e.g. leveraged ETFs), then I see no other choice than to turn to other, more volatile products available outside of public markets. When first seeking to include these products in my portfolio, I was surprised to find how much effort and research was required to invest. Brokerages such as Vanguard do not allow investors to purchase many of these products, and Fidelity has extensive controls in place to ensure retail investors like myself are educated on the risks of such products. I am confident that investors that manage to gain access to these investment opportunities are educated significantly on the risks by the controls and procedures large brokerages already have in place.

FINRA's mission is to protect investors by making sure the United States securities industry operates fairly and honestly.
Public markets, despite holding some volatile products, are among the safest places for investors to be - big and small. Pushing investors out of public markets and into riskier, unknown products is one of the most harmful decisions FINRA can make for American investors. Rather than raising insurmountable barriers to entry for retail investors, I urge your organization to continue working with brokerages to ensure individuals can make the choices they want with their investments.