Comment Text:
i0-001
COMMENT
CL-01652
From:
Sent:
To:
Subject:
Walt Faulkner
Thursday, January 21, 2010 9:14 AM
secretary
RE: RIN 3038-AC61 - Regulation of Retail Forex
The Proposed changes to margin requirement for retail forex are short-sighted and offered by individuals that
obviously do not understand the markets they are trying to regulate. Margin requirements have been set
by the volatility in those markets. Foreign exchange does not have the swings of other instruments
because you are not say buying pork belly futures, You are doing a swap between say US Dollars and
Japanese Yen. Unless you are expecting the US Government to collapse overnight, there is no reason to
try and cut the margin rates from the current 1% to requiring 10%. This will have a huge impact of people
like myself that make a living trading currencies. You will be cutting off my source of income and putting
me out of a job.
You need to dump this proposal before you destroy this entire market. Cutting out the US currency traders will
create a currency market controlled by overseas traders. When I studied Economics and Finance in
school, there were clear examples of how more traders give more depth to a market. More people trading
mean better rates for everyone and assure that there are always willing buyers and sellers.
This proposal is the worst idea I've seen from government in a long time and looking over some of the bad ideas
in recent years that says a lot.
Walt Faulkner
2112 Adams Ave
Knoxville, TN 37917
865-366-0149
