Feb. 20, 2022
Dear SEC, I'm commenting from Europe, Romania - the city of Bucharest. Thanks for hearing me out. In the following I want to address two main points: - Transparency of the Markets - Fail To Deliver (FTDs) The word transparency was used 20 times in the document like \"Additional transparency regarding large security-based swap positions also could alert market participants, including counterparties, as well as issuers of securities and their security holders, to the risk posed by the concentrated exposure of a counterparty. Such transparency also could enhance risk management by security-based swap counterparties and inform pricing of the security-based swaps.\" Transparency should be one of the most important aspects of the market. Investors can make individual decisions based on that. In that case, I equate transparency with fairness. Everybody should have the equal right to gather data from the stock/derivatives market. The information a hedge fund receives should be the same available information that an individual investor can look up and read. Furthermore, regarding Fail to Deliver (FTD), there are some points I do not really understand. Before short sales are made, shares must be borrowed. When a share has been purchased in the past, the seller has handed over share certificates to prove ownership of the company when the cash was handed over. All companies have a fixed number of shares issued, which rarely changes. This is one reason why index funds do not have to trade very much. Since there is no short selling, the holders of all outstanding shares are the equivalent of \"long investors\". I personally believe, that borrowed shares should not be used to close out fails. The point is, why is it fair that an already borrowed security is used to cover a previously lent security that failed to deliver? There are still a lot of questions in my head and some nuances, but the overarching goal must be to eliminate the overhand of information, tools, and other advantages that not all participants in the market have. Everyone should have the same rights in the market. Data and information are power, give them to everyone. The opportunity to be actively involved in what is happening makes me very happy. It is a big step in the right direction, but there is still a lot to be done to speak of a fair and transparent market. -- Best Regards, Silviu Razvan Cheosa