March 10, 2020
From what I understand about this proposed new rule is that the SEC is now trying to take away the ability or make it more difficult for the small investor to do what banks, insurance companies, and many large institutions do every day. This is another example of government over reach and trying to over-regulate an industry where no problem exists. Why don't we make people proved they have plenty of income to pay their bills they blow $100 a week on lottery or scratch off tickets? Here our government encourages people with little means to throw money away on things like the lottery tickets or very low possibilities of winning like scratch off tickets but you want to waste the tax dollars we pay to try to over-regulate investments that have a very good chance of giving the average investor a chance to be financially secure. I have used leveraged funds on a regular basis and have done quite well. They are a safe, cost effective, and easy way for the average investor to take advantage of the swings in the market short and long term. Why don't they do something about the practice by large financial institutions of illegally looking at sell orders and timing their bids to buy those orders 2-4% below the going stop sells. That is what I have been a victim of and Etrade didn't do anything about it. The SEC knows this goes on but doesn't want to have to tangle with the law firms of the large institutional investment companies and would rather make the appearance that they are trying to help someone when it's just all a smokescreen. Pathetic.