Comment Text:
i0-001
COMMENT
CL-02082
From:
Sent:
To:
Subject:
Victor Long
Thursday, January 21, 2010 6:35 PM
secretary
Regulation of Retail Forex
Dear Sirs:
I am writing to comment on the new retail Forex transaction regulations proposed pursuant to the 2008 Farm Bill. I
agree with the proposals that would strengthen operational standards, counterparty registration and financial
strength requirements.
However, I would like to strongly object to the proposal to reduce retail customer leverage from the present 100-
to-1 down to 10-to-1. This would have a serious negative impact on the retail customer's ability to profit from this
form of trading. In the current economic climate, an attempt to throttle anyone's ability to produce legitimate
income would be an anti-recovery move, counter to the Obama administration's promise to get the economy
going again.
Revised risk-disclosure requirements will require firms to distribute revised documents, and these will freshly
apprise every retail customer of the risks involved in leveraged trading. There will always be a few individuals who
will ignore risk, no matter how adequate the warnings; the leverage reduction would merely be a vain attempt to
protect those oblivious few from themselves. But it would be totally unfair to thus penalize the many aware
individuals who manage risk responsibily while producing income from Forex trading.
Please delete the retail customer leverage restriction from your proposed new regulations, and then please enact
the rest.
Sincerely,
Victor Long
10449 Tujunga Canyon Blvd.
Tujunga, CA 91042
818-353-0106
