April 20, 2022
Dear Ladies and Gentleman,
i want to comment on the proposed rule SR-NSCC-2022-801.
I am a retail investor and have always considered myself lucky, that the securities market in the European Union (where I live) is somewhat regulated in favor of retail investors.
For quite a while I have also been invested in Blue Chip Stocks on Nasdaq.
That is why I am interested in US market regulation.
The proposed rule seems to further favor illegitimate business conduct through easing securities lending without mechanisms to inhibit improper use of lent securities.
While Im not generally opposed to e.g. short selling (I witnessed its use in the Wirecard scandal) I fear, that without strict rules on delivery and short sales of securities you open the US market to the unchecked and unjustified ruin of US companies and with that the loss of jobs.
I hope you dismiss the proposed rule and rather implement stricter rules regarding short sales, FTDs and securities lending. This would even out the playing field and be a start towards a transparent, fair market, which is going to attract more retail investors. Right now, people are more and more sick of being fooled and extract money out of the market. I have the feeling, that we are on the brink of a new era (war in Europe, Chinas importance growing, Web 3.0 and Crypto) and the path the US securities market is going is the path to obsoletion.
Regards