Comment Text:
i0-001
COMMENT
CL-00323
From:
Sent:
To:
Subject:
Brian Dean
Monday, January 18, 2010 12:42 PM
secretary
Regulation of Retail Forex
To Whom it may concern
I am writing today in response to the CFTC Public Comment on Proposed Regulations Regarding Retail
FOREX Transactions as listed in the Federal Register on January 13, 2010.
My comments are specifically in regards to the following sentence: "Leverage in retail forex customer
accounts would be subject to a 10-to-1 limitation"
I am a retail Forex trader with a small account and am relatively new to the Retail Forex trading system.
I have been trading for a little over a month and have been studying Forex for several months. One of
the reasons I was drawn to Forex was the ability to use leverage in my favor. That, along with a number
of other reasons, has made me very content with trading Forex.
Even though I am new to Forex I am not new to trading in general. I have traded Equities, Options and
Mutual Funds for a number of years but wanted to diversify my portfolio. I did not however, want to
jump in with a significant amount of money. The current leverage I am utilizing has allowed me to enter
the Forex market with a small amount of capital until the point at which I am comfortable with
increasing my position and trade sizes. I understand the basic principals of risk management and capital
preservation that comes with the general market experiences that I have gained over a number of years
in the market. It is for this reason that I believe that the leverage reduction should be placed on
individual retail accounts based upon experience in trading, not simply their account size. It is the
inexperienced trader that jumps in without knowing what they are doing that needs the protection, not
individuals that want to keep accounts small to preserve capital. I want my account to be smaller at this
point and still enjoy the benefits of the increased leverage. I believe that many other retail forex traders
want the same.
Thank You
Brian Dean
Grand Rapids, Michigan
