May. 10, 2020
Good day, Leveraged funds are in important part of my investment strategy and I’m using them in a way that will help my wife and I achieve our retirement goals. We realize that the structure of these funds make them more volatile. It is an easy concept to understand. They provide magnified grow when the related index grows, and it is only common sense that they will provide magnified losses when the related index drops. Because of this magnified growth we can sell a portion of the funds when growth is high, which allows us to build up a cash reserve, and purchase additional units in the leveraged index when it drops. We do not want an external party assessing us, or in any way be prevented from using leveraged funds. We feel that this sets a dangerous precedence. It allows the rich to get richer which will just increase the gap between the rich and poor. We do not feel the SEC should feel responsible, or act on complaints of individuals who may have lost money in a leverage index funds or reverse funds. It is up to these individuals to do their due diligence and understand what they are doing. Please allow leveraged funds to accessible to all types of investors. Thank you. Daryl & Cathy Powley