Mar. 15, 2023
I vehemently disagree that this rule will do anything but enrich the industry and will hurt retail investors. The proposed rule does little to protect retail investors by reducing the information available to them. This imbalance in information and transparency makes it harder for retail investors to make informed investment decisions, potentially leading to losses. Hedge funds have a history of manipulative behavior in the markey. This exemption would offer them a new opportunity to engage in such practices. By limiting the exemption to accredited investors, hedge funds could create fake accredited investor accounts to conduct manipulative behavior outside of regulatory oversight, which does not hold a lot of weight right now.