I want to express my dismay at the possibility of regulations and restrictions on certain investments in leveraged and inverse funds. These vehicles are an important option, especially to an individual investor. There are very appropriate uses for these funds and it is up to each and every individual investor to determine when it is appropriate. I have used these funds effectively to hedge against other holdings or certain economic conditions. They are easy to understand and use. They are also inexpensive to trade. Larger hedge funds, mutual funds, and money managers have other options at their disposal and proposed restrictions would put the individual investor at a disadvantage.
In a financial world with as many uncertainties as there are now, it would be a disservice to the investor to limit the usage of these product or to try to make a cookie cutter approach. The actual investor should have the opportunity to have access to these products and use them as they see fit for their individual situation.
Thomas Sturik Comment On Regulatory Notice 22-08
Dear FINRA,
I want to express my dismay at the possibility of regulations and restrictions on certain investments in leveraged and inverse funds. These vehicles are an important option, especially to an individual investor. There are very appropriate uses for these funds and it is up to each and every individual investor to determine when it is appropriate. I have used these funds effectively to hedge against other holdings or certain economic conditions. They are easy to understand and use. They are also inexpensive to trade. Larger hedge funds, mutual funds, and money managers have other options at their disposal and proposed restrictions would put the individual investor at a disadvantage.
In a financial world with as many uncertainties as there are now, it would be a disservice to the investor to limit the usage of these product or to try to make a cookie cutter approach. The actual investor should have the opportunity to have access to these products and use them as they see fit for their individual situation.