Apr. 09, 2021
I am an individual retail investor and would like to express my opinion regarding proposed rule SR-NSCC-2021-801. If enacted, I believe this rule is a step in the right direction towards accountability for those who engage in the short selling/stock borrowing program. More transparency and accountability for short sellers is essential for the protection of both individual investors and our market as a whole. It is past time for an update to the current RegSHO closeout requirements and I believe that this SLD change in process from Monthly to Daily settlement is progress. I would like to see this rule passed and implemented immediately. Lastly on this ruling, I would like to see significantly stronger penalties enacted for non compliance and violation of this rule. I would recommend making all penalties based on a percentage of the net worth of the company that committed the violation, not a set dollar amount. A $1 million dollar fine would be devastating to me, but a drop in the bucket for a large company like Citadel (for example). A fine of 20% of their net worth though, would make them think twice before violating these regulations. Thank you for your time & consideration in this matter. Sincerely, Michael Heck