April 9, 2021
Hello,
I am an individual retail investor and would like to express my support of SR-NSCC-2021-801.
Much of the market's workings and middlemen are obfuscated to the average retailer such that information and speed advantages are crucial to institutions. This rule is a start to a fairer market.
There exists an inexplicable lack of scrutiny which allows illegal naked shorting, FTD-shares, dark pool trades, rehypothecation, scarce and inaccurate reporting of positions, light penalties for repeat offenders, etc. All of these techniques have the potential to create a 2008 crisis all over again. With such danger involved combined with daily reports of positions(003), I hope this rule will discourage such risk-taking by these firms ,and ensure in the event of default, participants don't lose faith in the U.S stock market.
This is most apparent with the shorting of U.S treasuries that have begun since March 2020. The repo market is crucial to our economy, and I also hope this rule will alleviate that. It is not overstating to say letting institutions running too hot (by using techniques listed above) can cause the collapse of the U.S dollar.
Thank you.