January 29, 2020
I have been invested in leveraged funds for more than a decade, and have not suffered undue harm to my investment portfolio. There was no special qualification to purchase them, and my brokerage made it clear about the risks. There is not a problem, I feel, that is solved by making leveraged or inverse funds harder to invest in- to the contrary, leveraged and inverse funds provide a good measure of diversification to many portfolios and should be available like any normal stock. I understand the risks for other classes of investments like options, forex, and futures, and I do approve the enhanced scrutiny for those investments. However, including the proposed class of funds to such scrutiny would be a disservice for the average investor.