Limiting levered funds would be akin to limiting options, futures, swaps, or any other derivative products that investors use to hedge risk or seek profit. Leverage exists everywhere. One example is a mortgage. Another example is home insurance. There is nothing special about levered funds that is any different that other examples of the use of leverage in the economy.
JR Helfrich Comment On Regulatory Notice 22-08
Limiting levered funds would be akin to limiting options, futures, swaps, or any other derivative products that investors use to hedge risk or seek profit. Leverage exists everywhere. One example is a mortgage. Another example is home insurance. There is nothing special about levered funds that is any different that other examples of the use of leverage in the economy.