Apr. 14, 2020
Comment on SEC Proposed Rule #S7-24-15: Firstly I'd like thank Direxion and Robinhood for making sure I was aware of this matter. I'm a control's engineer with a bachelor's of computer science. I do not consider myself a financial expert, but I see leveraged etfs as a valuable tool. As with any tool it is almost entirely the user's responsibility to understand it's application and any dangers that accompany its use. I understand that although leveraged etfs trade similarly to a "normal" stock, that they are a product potentially comprised of multiple stocks, options, etc. Etfs are an attempt to simulate the general pattern of a larger market segment or in some cases it's inverse, but at an increased exposer. I understand that all etfs suffer from decay and thus they are not a sound long term investment. I understand that although increased exposure can mean large gains in a short time, it can also mean large loss. I understand that although an inverted etf is an attempt to inversely mirror it's counterpart, there is not necessarily a direct relationship. Ie if you buy 1 share of an etf, and 1 share of its counterpart, your net is not null. You can lose money on both in a given day. I'm thankful for platforms like Robinhood, and in financially unprecedented times like these I'm very thankful for direxion for the products they provide. I find it a little a bit counterintuitive that I'm free to take that same money to a casino where I'm almost guaranteed to lose it, but I'm potentially going to lose the right to instead make an informed financial decision based on my own analysis of the state of the market and consideration of risks. Thank you for your time and I hope to retain the freedoms I currently enjoy with my money.