Skip to main content

Leonard Riches Comment On Regulatory Notice 22-08

Leonard Riches
N/A

The right of investors to elect to put their hard earned money into inverse or leveraged ETFs should not be impeded through regulation. The issuers of the ETFs should be required to provide sufficient information to the investor regarding the potential risks of an investment in their ETF; however, the final decision should be up to the individual investor. Cryptocurrencies, lotteries and casino gaming pose a much greater risk to the loss of the initial "investment"; however, those are not regulated, except for by age. Why limit an investors access to a viable investment vehicle with more purpose, potential, and usefulness than other unregulated places that people can put their money. Regulating or banning inverse or leveraged ETFs would be a step backwards for the US capital markets and a loss for the American investor of a valuable vehicle for managing their investments.