Comment Text:
i0-001
COMMENT
CL-00404
From:
Sent:
To:
Subject:
Michael Thomas
Tuesday, January 19, 2010 9:37 AM
secretary
RE: []Regulation of Retail Forex[]
Dear Mr. Secretary,
I found this message posted on a discussion board and I think I understand the motivation behind the
CFTC in making these changes (see posting below). By implementing your new rules you get rid of the
competition against the "good ol boys" in commodities trading. If you were truly concerned about
leverage risk to customers you would have put restrictions on these brokers as well. but as the post
describes, the leverage through a regular commodities broker would be far higher (354:1) than with a
Forex broker even at the old 200:1. Please tell me that this was not some back room deal aimed at
getting rid of competitors, because if it is I would hate to be the person who made that deal. As a citizen
I feel I must turn this over to the media to investigate... I really hope that it really isn't what it looks like,
because if it is then EVERYONE will stop trading in the USA not just me...
Thank you for your time...
Linked In Groups
¯
Group: Foreign eXchange TRADER Network
Subject: New comment (15) on "The End of the FOREX!"
The over regulation in the forex market or the threat of doing so by the CFTC is due to the
pricing inefficiencies that have existed from unscrupulous brokers and firms that makes all of
us look bad. It is obviously not fair and I am also concerned about a reduction in leverage to
forex traders. However, a solution would be to consider trading the currency futures on the
CME as there is plenty of leverage on currency futures. For example, my firm offers
daytrading margins on the Eurodollar FX futures of $507 at this time. Therefore, your $507
controls $125,000 Eurodollars or approximately $179,924 which equates to 354 to 1
leverage. Feel free to visit my discount trading page to learn more and to see some of my
futures and currency futures margins.
http://www.abacofutu res.com/discount%20trading .htm
Posted by Mark Sackoor
--- On Fri, 1/15/10, secretary
wrote:
From: secretary
Subject: RE: [] Regulation of Retail Forex []
To: "Michael Thomas"
Date: Friday, January 15, 2010, 2:41 PM
Your submission has been received by the Commodity Futures Trading Commission. Please be
advised that this acknowledgement does not constitute either Commission approval of the
subject proposal or a determination that the proposal is consistent with the Act and the
regulations thereunder.i0-001
COMMENT
CL-00404
From:
Michael Thomas [mailto:[email protected]]
Sent:
Friday, January 15, 2010 2:15 PM
To: secretary
Cc:
President Barack Obama
Subject: ¯ Regulation of Retail Forex.
Dear David Stawick,
I have read the proposed rules for trading in the FOREX market and I have to say that I
am not only disappointed, but I am truly concerned. The reduction in leverage is not fair
to the public, and it's bad for America.
I do not live here in this "free" society to have someone from the government
babysitting me. The message that your proposed rules send is that 1) we are not free to
make our own choices. 2) The federal government believes that we the general public
are too stupid to make decisions for ourselves and 3) That being able to change your
financial condition in the USA is reserved only for the very wealthy.
I don't need you, nor do I want you getting in the way of my being able to trade as I
wish in the United States of America. It both frightens and angers me to think that I
would have more freedom to trade as I wish without government intrusion in CHINA
than I have here in the USA but that is the road that you have put us on. I can see the
writing on the wall, and I don- t like where you- re taking us.
If these rules are passed I will be forced to do business with FCM's outside the United
States. I'm sure that your actions will destroy the business of many financial firms in the
USA leading to the loss of thousands of jobs during the worst economy in decades.
VVhile this may be acceptable to you, it will be a disaster to many families who currently
work in this field. My accounts will be overseas and I will trade as always, but my faith
in the current administration will be gone and I will vote my feelings in the next
elections. I will also make sure that the rest of the voting public knows about this
outrage. I am also sending this to the President in hopes that perhaps he can bring
some common sense into this situation.
The United States of America needs to be a free country that competes in the world,i0-001
COMMENT
CL-00404
but your proposed rules will strip us of our freedom of choice and ship more US jobs
overseas.
I have already seen companies fleeing oversees because of the reduction in leverage
to 100:1, (which was ridiculous to begin with) and I know the rest will leave the USA if
you reduce our leverage to 10:1. I will certainly give up on all investment in the USA if
this rule takes effect, because it will be clear that freedom no longer exists here.
I hope and pray that your department sees the error in your ways and stops this before
it's too late.
I thank you for your time, and hope that you take good care.
Michael Thomas
