Comment Text:
i0-001
COMMENT
CL-08265
From:
Sent:
To:
Subject:
Charles A Mitchell
Wednesday, March 17, 2010 6:22 PM
secretary
Regulation of Retail Forex
I am a consistently profitable trader in FX--that is, in part, a result of leverage. If your rule to reduce all
traders leverage to 10:1 is inacted, it will kill retail Forex in the US, and drive that business to overseas
competitors (along with the jobs related to brokers). I can say without hesitation that I would take my
business overseas to maintain my performance. As you are aware, many (if not all) competent money
managers will do same. I appreciate your good intentions; however, nothing good will come of this rule.
By enacting this rule, you are merely shifting regulatory responsibility overseas, which I suspect is exactly the
opposite of what is intended. As it stands, I have taken issue with the rule that makes hedging difficult
and/or expensive in the US. This ill thought-out rule alone has caused me to consider moving funds to a
UK broker. Believe me when I tell you the monetary migration has already begun. Stop damaging what is a
good business. I know you intend to make Forex safer for investors. By my estimation, you are merely
killing the business for participants in the US. Do us all a favor, and slow down or better yet, stop. I have
yet to see a rule that actually helps traders.
Charles Mitchell
Louisiana
