February 24, 2022
This is ridiculous. Anyone who takes on that much leverage deserves to be burned when their bets go bad, including your rich, \"self-regulating\" friends. If I take on too much leverage as an investor I could be liable to lose all my money and then some. I don't get special privileges to help me meet my obligations because volatility went up. I can't delay, recalculate, or re-adjust rent payments to my landlord because \"international conditions\" are chaotic, and my portfolio isn't doing too well right now. Why should the rules be any different for these \"financial professionals\" who purport to know what they are doing? This is like asking for the speed limit to be raised (but only for your friends) because some privileged, silver spoon yuppies can't be bothered to drive like normal human beings. Its not like these financial entities don't understand the risks they are taking. I'm not sure if you people realize the impact that these usurous gamblers have on the average American. Archegos should have been a wake up call for you regulators to start reigning in these ludicrous risk-takers who are betting on all of our futures and stepping away from the mess when the tide turns against them for whatever reason. Stop letting these people treat our markets like a casino, Especially when you let them reverse their bets when they start losing, or worse, bail them out using public monies. It's no wonder nobody has any faith in your organization.. you let these blood suckers consistently get away with massive financial crimes (like leveraging themselves dozens, or sometimes hundreds of times their actual capital) by allowing them pay token fines without even forcing them to admit guilt. And now a rule (SR-OCC-2022-001) is proposed to help these institutions because \"iT wOuLd Be BaD fOr InVeStOrS\" if volatility made it hard for them to make their payments and meet their settlement obligations. This is a clown show. The foxes are running the hen house. Do something, or face the consequences of your regulatory capture and resulting inaction.