Comment Text:
i0-001
COMMENT
CL-05351
From:
Sent:
To:
Subject:
[email protected]
Friday, February 12, 2010 9:28 PM
secretary
RIN 3038-AC61 - regulation of retail forex
Dear Secretary,
I write this email to you to express my opposition to the proposed 10:1 leverage limit on retail forex trades
within the
United States. As a trader, I am of course concerned about unscrupulous brokers misleading persons who
shouldn't be trading in the forex market.
I do in fact support increased capital requirements for retail forex firms and vigorous prosecution of fraudulent
brokers. However, as a trader
who understands and accepts the risks involved in forex trading I feel the proposed leverage restriction denies me
an important financial
tool which I understand and employ. CFTC regulations should be aimed at ensuring fair markets, not restricting
traders' freedom of choice. I understand the nature of the risks involved and do not require the federal
government to protect me from my own investment decisions. I should also like to point out the proposed
leverage limit isn't being applied equally to the futures market, which the CFTC regulates. Currency futures
contracts (as of this time) are being traded at 30:1 leverage at the CME.
The proposed leverage limit also will most likely result in honest forex firms leaving the United States. Your
agency should not be involved
in eliminating American jobs, especially during an economic recession. Furthermore, the proposed regulation will
not prevent traders such as myself
from using high leverage; we will simply open accounts with foreign firms. I certainly do not want that to happen
and would prefer doing business with an
American company if possible.
Thank you for your consideration in this matter.
Sincerely,
Dr. Jack McMillan
1255 Nuuanu Avenue
Honolulu, Hi 96817
(808) 536-5496
