April 17, 2020
I am against the SEC restricting any investment vehicles that offer leverage or inverse positions as long as they meet all current requirements of Federal laws and regulations. Hedging against long or short positions is an efficient way to protect savvy investors. Leveraged funds make it easier for small investors to compete with institutional investors. Yes, these funds carry more risk, but the SEC requires full disclosure of the risks with ALL investments. There doesn't appear to be a serious problem that needs to be fixed due to misuse or misunderstanding of these types of funds. Please do not try to fix a problem that doesn't exist.