April 20, 2022
The way I read this rule makes it seem like it's set up to allow bad actors in the market to weasel their way out of the terrible bets that they've made with little or no consequences to the detriment of retail investors. Large players in the market shouldn't be able to kick the can indefinitely. Retail and the taxpayer shouldn't constantly have to pay for the bad bets made by these unethical organizations. Nobody is going to come to my rescue if I can't provide the shares promised through a contract and we all know full and well that these SFTs will be used to suppress prices and hide major flaws in this \"free market\" of ours.
Let these hedge funds become insolvent. If they're willing to take the risk in the first place they need to be willing to lose everything. Failure to deliver should have serious consequences, not lead to an opportunity to make an agreement behind closed doors. It's not my fault if liquidity dries up in the market- it's the fault of the bad actors.
It seems to me that we have major problems in the market and some of the biggest players got a little too used to ignoring the rules and regulations in order to bolster their bottom line. over the last year or so a large enough segment of the population caught on to this and will now make them pay for abusing the market.
Don't try to help them slip out of this predicament. It will only lead to a loss of faith in the u.s. market on a global level. I already wish I could take my retirement account out of this amazingly flawed and manipulative system and find a more trustworthy way to invest.
Freeze the assets of the actual customers caught in the crossfire and let the bad actors go down in flames. We need actual reform and one way to keep the rest of the market in line and on the up and up is by dismantling the firms that are all too willing to lie about their assets and have no real intentions to fulfill their obligations. Toss them on the streets and let the rest watch.
If the market has to rebalance, so be it. It will be better off without the liars, cheats, and thieves. This new rule will be abused by them and should not be put into effect.