Comment Text:
i0-001
COMMENT
CL-00632
From:
Sent:
To:
Cc:
Subject:
[email protected] <"[email protected]">
Tuesday, January 19, 2010 1:59 PM
secretary
[email protected]; [email protected]; [email protected];
[email protected]
Harmful FX Regulations to Come: Urgent request for reversal of new proposed
FX regulations!
Dear Secretary Gary Gensler,
I am requesting that your office NOT change the Maximum Leverage Requirements for Retail Foreign
Exchange accounts in the USA. If you do I might be tempted to take my account offshore. I believe that
all traders should have the "right to choose" the amount of leverage that is appropriate for his/her risk
appetite, and that this basic principle of 'choice' is being threatened by the proposed CFTC regulations.
Here are my reasons for not changing the Minimum Requirements
Potential for capitol gains will also be regulated, therefore limited, and therefore limiting potential
income taxes for the federal government.
We have already had recent changes to the minimum requirements. Why do it again so soon? In
fact it would be benificial to the US Treasury, for tax considerations, if you would restore the
older levels and/or let the trader themselves decide how much they wish to leverage.
Risks taken by Retail Forex traders do not put other people's money at risk, only their own. Not
like banks and insurance companies (GS, AIG) who are "too big to fail".
FX traders know the risks they are taking when they trade, and are quick to learn risk
management. Something the government should learn when it comes to money.
FX traders are above average in intelligence and do not need government assistance by
limiting their choices. And since, because, this is not assistance, it must be considered by FX
traders as a roadblock to success. Roadblocks to Choice, which is FREEDOM.
CFTC Seeks Public Comment on Proposed Regulations Regarding Retail FOREX
Transactions
The U.S. Commodity Futures Trading Commission (CFTC) announced on January 13,
2010 that it is seeking public comment on proposed regulations concerning retail forex
trading.
As part of the proposed regulations, "leverage in retail forex customer accounts would be
subject to a 10-to-1 limitation," which means 10:1 leverage would be the maximum
amount allowed for forex traders in the U. S.
http ://www. cftc.gov/newsroom/generalpres sreleases/2010/pr5772-10.html
Maximum Leverage under
Maximum Leverage under
Current Regulations
Proposed Changes
100:1 leverage (one percent)
10:1 leverage (10 percent)i0-001
COMMENT
CL-00632
1 lot (100,000)
1 lot (100,000)
Margin requirement: $1,000
Margin requirement: $10,000
With all due respect, this proposal by the CFTC is ridiculous.
Warren Caves
University Place, WA 98466
253-202-8241
All other recipients, PLEASE, PLEASE, PLEASE pass along (not the above addresses) to all other FX
traders you know so we can take back our market. Time to make your voice heard before this is rammed
down our throats and we are left holding nothing.
