May 5, 2009
I would like the SEC to reinstate SEC Rule 10a-1, the Uptick Rule.
As a small business man who's business represent products of larger corporations, I have seen first hand the effects of the capital markets being driven down by hedge funds and speculators. The markets main function is for companies to seek capital. The SEC must establish and enforce rules that allow for an orderly investment enviroment by both companies and investors. The interest of companies seeking capital and the retail investor willing to provide that capital in a fair market place is not currently being served by the SEC allowing naked short selling. Manipulation of the market on a scale not seen before has occured over the last six months.
Reestablish the uptick rule and eliminate naked short selling. This would be a good start towards making investing in the US equity markets an investment in our country and not a gambling parlor with the fix in.