This year, as as well as the year 2001, have shown us that stocks (primarily tech heavy stocks) can be hit especially hard with losses. Therefore, everyone who invests should be aware that huge losses can occur and it should be considered a gamble. This is especially true for leveraged and inverse funds. But for the person that has a disciplined approach, large gains can also be achieved. If in any year, the value of anyones investments drops significantly, I do not believe that any agency should be able to restrict their ability to recoup their losses. Nor should anyone be restricted in making large gains. They only requirement should be that before an investment is allowed, the fund provider make it clear that huge losses can occur by investing in the fund.
Michael Petry Comment On Regulatory Notice 22-08
This year, as as well as the year 2001, have shown us that stocks (primarily tech heavy stocks) can be hit especially hard with losses. Therefore, everyone who invests should be aware that huge losses can occur and it should be considered a gamble. This is especially true for leveraged and inverse funds. But for the person that has a disciplined approach, large gains can also be achieved. If in any year, the value of anyones investments drops significantly, I do not believe that any agency should be able to restrict their ability to recoup their losses. Nor should anyone be restricted in making large gains. They only requirement should be that before an investment is allowed, the fund provider make it clear that huge losses can occur by investing in the fund.