May 6, 2020
Comment on SEC Proposed Rule #S7-24-15: I understand the characteristics and risks associated with the inherent volatility in leveraged and inverse funds. In holding these funds, one has the capability to gain far more than when holding a deleveraged stock or fund in a similar field. This benefit has a flip side which is that the losses one can suffer as a result of holding such a fund are far more severe than those of a similar deleveraged fund. I understand these risks, and partly because of them I check my investments from 5-20 times a day. I disagree that a free brokerage firm should have jurisdiction over where an investor puts his/her money, as it is the investor’s money and it is their loss. A paid brokerage firm should be compelled to educate their investors upon the risks associated with certain investments, but no more. If an investor is educated on the risks, it is their right to throw their money away or profit off of it. With the abundance of information provided to me, I think it unlikely that I fail to understand the risks associated with L&I investments. My past experiences with L&I funds have shown that I have profited from them and understand how to mitigate risk and when to invest in them. I propose that my experience should qualify me to continue trading L&I funds should Rule #S7-24-15 take effect.