Comment Text:
i0-001
COMMENT
CL-05615
From:
Sent:
To:
Subject:
Brian Warren
Saturday, February 27, 2010 2:20 PM
secretary
Regulation of Retail Forex
Dear Secretary,
My name is Brian Warren. I would like to present a few reasons why I hope
that the retail Forex brokers will not be limited to a leverage of 10: 1.
I trade EUR/USD intraday with OandA at their maximum leverage of 50: 1. I
use a money management plan that calls for a gain target of 5% of my capital
each trading day. I never risk more than 2% of my capital on any given
trade. I often achieve the 5% goal, but occasionally reach my maximum loss
target of the day of 10% of my capital. This system yields a monthly ROI of
roughly 50% of my capital. I use this to make my living.
If my margin were reduced to 10: 1, my ROI would be reduced to approximately
10% monthly. At this point, with my current amount of risk capital, the
reduction in income would block my ability to earn a living and grow my
capital. For this reason, I respectfully request you not limit the leverage
requirements of retail Forex brokers to 10: 1.
Thank you for your consideration.
Best regards, Brian J Warren
