I'm offended by the arrogant supposition that investors are somehow incapable of managing their investment risk and trading, investment, and hedging strategies. Leveraged and inverse funds are valuable and innovative tools that actually allow prudent investors to decrease/manage risk and improve tax efficiency. Any regulatory attempts to restrict the availability and utility of these investment tools to ordinary investors increases the risks ordinary investors are subjected to, and harms them by reducing potential returns and increasing potential tax liabilities. Existing regulation and broker safeguards are more than adequate. Further regulatory action is bad for investors and the market in general.
Mark Young Comment On Regulatory Notice 22-08
I'm offended by the arrogant supposition that investors are somehow incapable of managing their investment risk and trading, investment, and hedging strategies. Leveraged and inverse funds are valuable and innovative tools that actually allow prudent investors to decrease/manage risk and improve tax efficiency. Any regulatory attempts to restrict the availability and utility of these investment tools to ordinary investors increases the risks ordinary investors are subjected to, and harms them by reducing potential returns and increasing potential tax liabilities. Existing regulation and broker safeguards are more than adequate. Further regulatory action is bad for investors and the market in general.