Comment Text:
i0-001
COMMENT
CL-04890
From:
Sent:
To:
Subject:
Myles Smith
Wednesday, February 3, 2010 10:26 PM
secretary
In Support of FOREX Leveraging Regulations
Dear Secretary,
Having traded foreign exchange, and having a friend who has long worked in the industry, I know first
hand what a silly, amoral, worthless, scam of an industry and 'investment' that foreign exchange is.
My friend tells me that something like 90% of their clients are in the red, and that their highly leveraged
positions are largely to blame. The illusion of limitless possible gain on minimal investment is dangled
before them, while the likely hood of total loss of investment is treated with a shrug. As long as people
trade, they make money, so it matters not how much they lose.
My friend is getting out of the industry, and so should we as a nation. If we regulate Casino gambling,
why would we not tightly regulate this form as well? When these idiots get wiped out of their savings
and can't pay for their mortgage, tuition, or child support, the rest of society has to clean up after them.
Or allow limitless leveraging, but simply disincentivize it with limitless taxation.
So, here here for your regulatory effort. I only note that no sooner had your regulations been announced,
than the company my friend worked for started moving clients to its UK and Hong Kong affiliates.
Unless such regulations are global, they effect will be nil, except the loss to our treasury. If Americans
are going to throw away their money and become basket cases reliant on the state, we might as well reap
whatever taxes we can from them before we have to give it back to them on welfare.
Myles Smith
Cumberland, Maine
