The following comment on Letter Type D,
Letter Type D:
Message sent to the following recipients:
[recipient address was inserted here]
Dear [recipient name was inserted here],
I am a participant in a retirement plan sponsored by my employer and am concerned about SEC proposals that would eliminate my ability to place mutual fund trade orders that otherwise would be filled on the same day. This would be the effect on my retirement plan if the SEC's "hard 4:00 p.m. close rule" becomes law. I am vigorously opposed to this proposed regulation and by copy of this letter via email to the SEC, I would like for the SEC to consider this letter a comment on its proposed rule (SEC File No. S7-27-03).
While I may be a long-term investor, that does not mean I do not care when my mutual fund trade order is filled. When I want to change my investments in my retirement plan account, I want it done as soon as possible and certainly as quickly as any other investor's trades are made. Being forced to wait until the next day or possibly the day after could significantly affect my returns and would make my retirement plan less attractive to me. I do not want to stretch out my trade over several days while other investors can still trade on the same day.
I understand this rule is being suggested as a method to stop people from trading after the market closes. However, it is likely that my investments were negatively affected by these late traders and the proposed rule would punish me again for someone else's behavior.
[insert optional text]
I understand that late last year, the House of Representatives passed a bill (H.R. 2420) which directs the SEC to make an exception to the "hard 4:00 p.m. close rule" for retirement plan administrators that have sufficient processes in place to prevent late trading. I like this approach and strongly encourage you to continue to fight for this provision of the bill should any changes be suggested.
Thank you for your time.
cc via email at email@example.com, File No. S7-27-03: